Sangamo BioSciences, Inc. (NASDAQ:SGMO), a leader in therapeutic genome editing, announced today that the company and its collaborator, Shire PLC (ADR) (NASDAQ:SHPG), have agreed to revise theirJanuary 2012 collaboration and license agreement to expedite the development of ZFP Therapeutics for hemophilia A and B and Huntington’s disease.

The decision to restructure reflects a strategic decision by both Shire and Sangamo to focus efforts in areas of current interest and expertise for each company. Under the revised terms of the agreement, Shire will return to Sangamo the exclusive world-wide rights to gene targets for the development, clinical testing and commercialization of ZFP Therapeutics for hemophilia A and B. Shire will retain rights and will continue to develop ZFP Therapeutic clinical leads for Huntington’s disease and a ZFP Therapeutic for one additional gene target yet to be named. Shire’s rights with respect to other targets contemplated in the original agreement revert to Sangamo.

“Sangamo has greatly benefited from our collaboration with Shire, whose financial support has significantly aided in the development of our in vivo protein replacement platform, or IVPRP, which forms the basis of our hemophilia and lysosomal storage disorder programs,” said Edward Lanphier, Sangamo’s president and chief executive officer. “This restructuring allows us to accelerate the development of our potentially curative hemophilia A and B programs. We will also continue to leverage the potential of our powerful IVPRP for development of ZFP Therapeutics for other monogenic diseases, and remain on track to file Investigational New Drug (IND) applications for the hemophilia B program and the first of our lysosomal storage disorder programs by the end of 2015.”

Under the revised agreement, each company is responsible for expenses associated with its own programs and will reimburse the other for any ongoing services provided. Sangamo has granted Shire a right of first negotiation to license the hemophilia A and B programs. No milestone payments will be made on any program and each company will pay certain royalties to the other on commercial sales up to a specified maximum cap. Additional financial details of the agreement will not be disclosed. (Original Source)

Shares of Sangamo Biosciences closed yesterday at $7.65. SGMO has a 1-year high of $19.25 and a 1-year low of $6.65. The stock’s 50-day moving average is $8.57 and its 200-day moving average is $12.48.

On the ratings front, Sangamo has been the subject of a number of recent research reports. In a report issued on August 6, Wedbush analyst Liana Moussatos assigned a Buy rating on SGMO, with a price target of $30, which implies an upside of 292.2% from current levels. Separately, on August 5, J.P. Morgan’s Cory Kasimov maintained a Buy rating on the stock and has a price target of $22.

According to, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Liana Moussatos and Cory Kasimov have a total average return of 18.2% and -0.2% respectively. Moussatos has a success rate of 37.1% and is ranked #112 out of 3742 analysts, while Kasimov has a success rate of 37.9% and is ranked #2597.

The street is mostly Bullish on SGMO stock. Out of 4 analysts who cover the stock, 4 suggest a Buy rating . The 12-month average price target assigned to the stock is $22.00, which represents a potential upside of 187.6% from where the stock is currently trading.

Sangamo BioSciences Inc is a clinical stage biopharmaceutical company. The Company is engaged in the research, development & commercialization of engineered DNA-binding proteins for the development of novel therapeutic strategies for unmet medical needs.