Under the collaboration, which will initially focus on hematologic malignancies and autoimmune disease indications, the companies will jointly develop the product on a worldwide basis, excluding India.
Rhizen will contribute backup molecules, enabling TG to develop differentiated therapies against hematologic cancers and autoimmune diseases.
TG Therapeutics executive chairman and interim CEO Michael S Weiss said the company has entered into collaboration with Rhizen due to their innovative pre-clinical development program, which has yielded an impressive portfolio of PI3K delta inhibitors.
"TGR-1202 has already demonstrated encouraging pre-clinical activity, and will serve to expand our pipeline as we seek to develop much needed therapies for patients suffering from hematologic malignancies," Weiss said.
Under the agreement, TG will cover the costs of clinical development up to Phase II, after which the companies will be jointly responsible.
Rhizen is eligible to receive upfront, development, and commercialisation milestone payments in addition to royalties tied to net sales, the aggregate of which is expected to exceed $250m.
Rhizen president Swaroop Vakkalanka said; "The deep clinical and regulatory development knowledge and experience of the team at TG Therapeutics, and the existing clinical program focused on B-cell malignancies, makes TG an ideal partner with which to collaborate on development of TGR-1202."
Rhizen will maintain rights to manufacture and supply the product to TG Therapeutics, which will be responsible for all clinical and regulatory development for TGR-1202.