Novartis to License Drug From China’s Abogen in Up to $7.8 Billion Deal

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1. 2h ago

   Novartis Licenses Abogen mRNA Drug in $7.8B Deal

   Novartis has agreed to license an experimental messenger RNA-based autoimmune therapy from Chinese biotechnology company Abogen Biosciences in an agreement valued at up to $7.8 billion. The therapeutic asset is an in vivo mRNA-encoded T-cell engager designed to produce a CD3xCD19 T-cell engager inside the human body. Abogen stated that this method could potentially lower the risk of dangerous cytokine release. The transaction expands a growing trend of Western pharmaceutical firms sourcing early-stage innovation from Chinese biotech startups.

   Why it matters

   Large pharmaceutical corporations are increasingly pursuing licensing agreements with Chinese biotechnology developers as an approaching patent cliff threatens existing revenue streams. This transaction forms part of a broader wave of industry spending on experimental treatments, which also includes deals involving companies such as Sanofi and Novo Nordisk. Abogen confirmed the financial terms and scope of the agreement on Friday.

   What is confirmed

   • Novartis agreed to license an mRNA-based autoimmune therapy from China's Abogen Biosciences in a deal worth as much as $7.8 billion.
   • The therapy is an in vivo mRNA-encoded T-cell engager designed to produce a CD3xCD19 T-cell engager inside the body.
   • Abogen Biosciences stated that the in vivo approach could reduce the likelihood of dangerous cytokine release.

   What to watch next

   • Further clinical development milestones and regulatory filings for the Abogen mRNA therapy
   • Additional financial details regarding upfront and milestone payments in the Novartis and Abogen partnership
   Sources used for this update (14)

   1. www.novartis.com — Novartis
   2. WSJ — Novartis to License Drug From China’s Abogen in Up to $7.8 Billion Deal
   3. Reuters — Novartis strikes up to $7.8 billion mRNA deal with China's Abogen
   4. CNBC — Big Pharma’s China deal spree grows with latest tie-up worth up to $7.8 billion
   5. Bloomberg.com — Novartis Inks Chinese mRNA-Therapy Deal for Up to $7.8 Billion
   6. fiercebiotech.com — Novartis pens $7.8B deal for Abogen's in vivo autoimmune T-cell engager
   7. axios.com — Novartis signs $7.8 billion drug deal with Chinese startup
   8. www.cnbc.com — Novartis signs $7.8 billion Abogen biotech licensing deal - CNBC
   9. biopharmaapac.com — Novartis Signs $7.8B RNA Therapeutics Deal With Abogen Biosciences
   10. medicaldialogues.in — Novartis Signs Licensing Deal Worth Up to $7.8 Billion With Abogen for mRNA Therapies - Medical Dialogues
   11. finance.yahoo.com — Stocktwits Biotech Dealmaker — Novartis, Sanofi And Novo Sign Week’s Biggest Deals
   12. theedgemalaysia.com — Novartis inks Chinese mRNA-therapy deal for up to US$7.8 bil - The Edge Malaysia ,Make Better Decisions
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