Bristol-Myers buys experimental drug rights

The folks at Bristol-Myers Squibb have apparently been shopping: the company will buy the rights for an experimental antibody called elotuzumab from PDL BioPharma. The deal also provides an option to expand the relationship to include PDL241, an additional experimental drug for immunologic indications in the future.

The company will pay $30 million for what it hopes will be a successful multiple myeloma treatment. Multiple myeloma is a type of blood cancer, and the drug is currently in Phase I trials.  If the drug meets predetermined development and sales targets, there could be up to $680 million in further payments for PDL.

Bristol-Myers will provide 80 percent of the funds to develop the treatment, with PDL covering the remaining 20 percent.  They will share drug profits in the U.S., but PDL will retain the rights to profits outside of the country. 

-- check out the Bristol-Myers Squibb release
--read the story at CNN Money
--see more at Forbes