Alba Therapeutics Corp. announced today a development collaboration with Shire P.L.C. worth more than $325 million to develop a drug for various gastrointestinal disorders.
Britain-based Shire, with U.S. headquarters in Tredyffrin Township, Chester County, will pay Alba an initial $25 million to develop drug candidate AT-1001.
Alba, a privately-held biopharmaceutical company in Baltimore, will get additional payments when certain clinical, regulatory and commercialization milestones are reached.
Shire will get commercialization rights to AT-1001 outside the United States and Japan. Alba will retain rights to sell the drug in the U.S. and Japan.
Shares of Shire rose $1.29, or 1.93 percent, to $68.30 on the Nasdaq.