Is the CSL Limited (ASX: CSL) share price going to go up after partnering with SAB Biotherapeutics?
The Australian Financial Review is reporting that CSL Behring is partnering with the clinical-stage biopharmaceutical development company which is advancing a new class of immunotherapies.
There are multiple agreements that relate to collaboration and options that will explore the possibility and potential of new therapies that will treat challenging autoimmune, infectious and idiopathic diseases by using SAB's technology platform which naturally and rapidly produces large amounts of antibodies without using human donors.
The initial phase of the plan is expected to be completed in 2020. CSL and SAB will share the costs of the research program and the related expenses, which may lead to further agreements.
CSL is one of the world's leading companies in biotherapies with a very large budget for research & development each year. It's agreements like this that help CSL remain at the leading edge of the healthcare industry.
The leadership of both CSL and SAB seem excited by the deal. The AFR quoted CSL senior vice president of research Andrew Nash, "CSL Behring is committed to the continuous development of innovative therapies that address unmet needs for patients with rare and serious diseases. This collaboration will provide both companies an opportunity to explore the potential of these new approaches to positively impact areas of need."
Eddie J Sullivan, the co-founder and CEO of SAB, said: "We believe combining our unique human antibody development and production capabilities with CSL Behring's established immunoglobulin franchise and vast expertise in biopharmaceutical development will broaden therapeutic possibilities."
Foolish takeaway
The CSL share price ended today higher by almost 1% despite the troubles going on in the Middle East. This could be an exciting step for a new wave of products, but we'll have to see if the partnership amounts to anything special.
