Oct 15 (Reuters) - Bristol-Myers Squibb Co said on Thursday it agreed to exclusively license and collaborate with Five Prime Therapeutics Inc to develop and commercialize Five Prime's antibody program in the treatment of cancer.

Five Prime will receive $350 million upfront and potential development and regulatory milestone payments, totaling $1.74 billion, for the program which includes the drug component codenamed FPA008.

The drug component, which is in Phase 1 development, belongs to a new class of drugs called immunotherapies, designed to harness body's own immune system to fight cancer.

The global deal includes additional double-digit royalties on future sales and an option to co-promote in the United States, the companies said in a statement.

(Reporting by Ismail Shakil in Bengaluru; Editing by Gopakumar Warrier)