Ambrx-Wyeth Drug Alliance (NYSE:WYE)

Wyeth Pharmaceuticals, a division of Wyeth (NYSE: WYE) declared the formation of multi-target alliance with Ambrx Inc. in order to develop and commercialize protein drug candidates in multiple therapeutic areas which are currently undisclosed. The deal will directly help Ambrx earn payments, royalties, funds for research and milestones, but so far Ambrx has not revealed anything more about the financial plans of the deal. This antibody development deal will also help Wyeth Pharmaceuticals to gain more popularity in the biotech market which will leads to rise of Wyeth Pharmaceuticals shares.

Ambrx’s CEO Steve Kaldor has said that they already had a word with other potential partners before signing the deal with Wyeth. Also, Ambrx would be more interested in capitalizing on their new developments in protein medicinal chemistry for antibodies and antibody-toxin conjugates. It was also announced that Ambrx might also use Ambrx EuCode platform for antibody drugs that can help in killing tough toxins like cancer cells and other antibody-toxins. This alliance will also help Ambrx’s broad biologics platform to create best in class therapeutics, and improved native proteins and therapeutic antibodies.

On the other hand, Wyeth Pharmaceuticals who has been leading the market competition in the areas of women’s health care, gastrointestinal health, central nervous system, transplantation, infectious diseases, oncology, vaccines and nutritional products have responded positively saying that they will always be leading the group of biotech innovators and they are happy that such alliances and group formation will help them achieve robust capabilities in the field of biologic drugs.

Wyeth Research’s President, Mikael Dolsten said that they are happy and enthusiastic about working with Ambrx, which has the capability to work, create and advance precisely engineered biologic drug candidates into clinical trials using its EuCode platform. Market analysts have said that inking of this deal will be very crucial to both the biotech innovators.