GENEVA (AP) -- Swiss pharmaceutical company Roche Group says it has teamed up with Massachusetts-based Aileron Therapeutics to develop a new class of drugs in a deal potentially worth over $1.1 billion.
Roche is guaranteeing Aileron at least $25 million to develop so-called "stapled peptide therapeutics" for cancers, virus infections, inflammations, and diseases of the metabolism and central nervous system.
The company based in Basel, Switzerland says Aileron could also receive up to $1.1 billion in payments if specific milestones are reached.
Roche says the Cambridge firm will also receive royalties from the sale of any drugs resulting from the collaboration.
Roche shares were down 0.4 percent at 146.40 Swiss francs ($140.34) on the Zurich exchange Tuesday afternoon.