AbbVie, Caraway Therapeutics Team Up To Develop TMEM175 Modulators For Parkinson's Disease

Caraway Therapeutics has entered into an exclusive collaboration and option agreement with AbbVie Inc ABBV to develop and commercialize Caraway's small molecule therapeutics targeting TMEM175.
Loss of function mutations in TMEM175 is associated with reduced lysosomal efficiency in a subpopulation of Parkinson's disease patients.
Under the terms of the agreement, Caraway will receive an upfront cash payment of $17 million.
After Caraway completes certain pre-clinical R&D activities for the collaboration program, AbbVie has an option to license the program and proceed into IND-enabling studies, clinical development, and commercialization.
Caraway is eligible to receive up to $267 million in payments, including upfront and future option payments and development milestones.
Caraway is a portfolio company of AbbVie Ventures.
Price Action: ABBV shares are down 0.12% at $112.21 in the premarket session on the last check Wednesday.