As per the terms of the agreement, Seagen will be granted an exclusive worldwide license for LAVA-1223 by LAVA Therapeutics
Seagen and LAVA have entered into an exclusive license agreement for advancing LAVA-1223 for solid tumours. (Credit: PublicDomainPictures from Pixabay)
American biotech company Seagen and Netherlands-based LAVA Therapeutics have signed an exclusive licensing deal worth up to $700m to develop, manufacture, and commercialise the latter’s LAVA-1223 for the treatment of solid tumours.
LAVA-1223 is said to be an advanced preclinical Gamma Delta bispecific T Cell engager based on LAVA Therapeutics’ Gammabody technology.
According to LAVA Therapeutics, LAVA-1223 targets and activates Vγ9Vδ2 (gamma delta) T cells in the presence of tumour cells expressing the epidermal growth factor receptor (EGFR).
Seagen interim CEO and chief medical officer Roger Dansey said: “Seagen is committed to driving innovation to improve the lives of people with cancer, and this agreement represents the company’s entry into a novel class of therapeutics that are designed to overcome the challenges of standard T cell engagers by leveraging the activity of a distinct T cell subset.
“This exclusive license from LAVA provides Seagen with the opportunity to harness its expertise in developing first-in-class targeted cancer therapies, along with the company’s global development and commercialisation capabilities.”
According to the terms of the agreement, Seagen will be granted an exclusive worldwide license for LAVA-1223 in exchange for paying $50m upfront to LAVA Therapeutics. The latter will also receive an additional payment of up to around $650m based on possible development, regulatory, and commercial milestones.
The Dutch firm also stands to earn royalty payments on the sales of the product in the future.
Additionally, the agreement gives Seagen the option to negotiate exclusively for the rights to use the Gammabody technology of LAVA Therapeutics on up to two additional tumour targets.
LAVA Therapeutics president and CEO Stephen Hurly said: “LAVA is pioneering the development of gamma delta bispecific antibodies to treat cancer, and we are pleased to work with Seagen in this pursuit.
“The combination of LAVA’s proprietary Gammabody platform and deep bispecific expertise, with Seagen’s leadership in developing targeted therapies for cancer and commercialisation infrastructure, makes this an ideal partnership to advance novel therapies for patients.”