Bristol-Myers Squibb ($BMY) showed strong performance in 2016. The company recently announced extended its portfolio by securing exclusive worldwide rights to PsiOxus Therapeutics' NG-348, a preclinical stage "armed" oncolytic virus which may potentially be used to treat solid tumors. The agreement calls for $50M upfront payment to PsiOxus. The company is also entitled to receive up to $886M in milestones and royalties on commercial sales.
Bristol-Myers Squibb will be responsible for funding preclinical development of NG-348. The drug candidate dictates T-Cell immune response in the tumor microenvironment. Both the firms had collaborated earlier this year for PsiOxus' systemically administered "unarmed" oncolytic adenovirus therapeutic, enadenotucirev.
In the new year, the company may face obstacles as generic drugs keep encroaching its territory. Bristol-Myers Squibb’s Baraclude, its oral hepatitis B drug, may have enhanced competition from Teva Pharmaceuticals products.
The company stock fared well in the last quarter of the previous year as it gained over 8%. Overall, the stock lost 15% of its value in 2016. It may show some recovery this year as the company embarks on its plan to boost the operating model. Bristol-Myers Squibb is also carrying out various collaboration including the one with Calithera Biosciences Inc. for developing small molecule drugs for treating cancer.