Ascentage Pharma receives $100m payment from Takeda under exclusive option agreement
Ascentage Pharma, a leading global biopharmaceutical company specializing in novel therapies for cancer and other serious diseases, has announced the receipt of a US$100 million option payment from Takeda. This payment is part of an Exclusive Option Agreement that grants Takeda the opportunity to license the potentially groundbreaking BCR-ABL inhibitor, olverembatinib.
– Substantial Financial Commitment: The agreement not only involves an initial US$100 million option payment but also potential milestone payments that could total approximately US$1.2 billion, alongside double-digit royalties on annual sales.
– Strategic Expansion: This partnership could significantly advance olverembatinib’s reach outside of its current markets, potentially addressing unmet needs in the treatment of chronic myeloid leukemia (CML) globally.
On June 14, 2024, Ascentage Pharma and Takeda formalized their collaboration through an Exclusive Option Agreement. This pivotal agreement positions Takeda to potentially acquire exclusive global rights to develop and commercialize olverembatinib outside of China and a few other Asian territories. The deal is a testament to the drug’s potential, currently in phase 3 development for various stages of CML, particularly those resistant to current treatments.
This collaboration between Ascentage Pharma and Takeda underscores a significant step towards innovative cancer treatment solutions. Olverembatinib represents a promising advancement in the fight against drug-resistant CML, with the potential to offer new hope to patients who have exhausted other options. The partnership leverages Takeda’s extensive global network and Ascentage Pharma’s innovative research and development capabilities.
Ascentage Pharma will continue leading the clinical development of olverembatinib until the option is potentially exercised. The drug is notable for being the first approved for treating certain CML cases in China and has received multiple designations that underscore its therapeutic potential, including Orphan Drug and Fast Track statuses by the US FDA.
The strategic partnership between Ascentage Pharma and Takeda could transform the treatment landscape for hematological malignancies worldwide. By combining Ascentage’s innovative approach to drug development and Takeda’s robust global presence, this collaboration is poised to accelerate the development and availability of olverembatinib to patients globally, highlighting a proactive approach to addressing complex cancer challenges.