Gilead Japan Tobacco License Agreement

The Gilead Japan Tobacco License Agreement was announced on March 22, 2005:

Gilead Sciences, Inc. (Nasdaq:GILD) today announced that the company has entered into a licensing agreement with Japan Tobacco Inc. (JT), under which JT has granted to Gilead exclusive rights to develop and commercialize a novel HIV integrase inhibitor (JTK-303) in all countries of the world, excluding Japan, where JT will retain rights.

Under the terms of the agreement, Gilead will pay to JT an upfront payment of $15 million and additional cash payments of up to $90 million upon the achievement of certain milestones. Gilead will also pay to JT a royalty based on future product sales in the territories where Gilead will market the drug. The agreement announced today is subject to clearance under the Hart-Scott-Rodino Antitrust Improvements Act."

The full text is available here.