Novartis (NYSE:NVS) has entered into a licensing agreement with Chinese biotechnology company Abogen covering an experimental RNA-based therapy and other potential treatments developed using Abogen’s technology platform.
Under the agreement, Abogen will receive an upfront payment of $575 million and could receive an additional $7.2 billion in payments if specified development and regulatory milestones are achieved.
The potential payments bring the total value of the agreement to approximately $7.8 billion, although the majority of that amount is conditional on future development and regulatory progress.
Novartis Secures Exclusive Rights to ABO2203
Novartis will receive exclusive rights to ABO2203, an experimental treatment being developed by Abogen for autoimmune diseases.
The drug is designed to target B cells, a type of immune cell involved in autoimmune conditions including lupus and rheumatoid arthritis.
The agreement also gives Novartis options to license other experimental therapies developed using Abogen’s RNA technology platform.
The supplied information does not provide details on the development stage of ABO2203, the geographical scope of the licensing rights or the timing of potential clinical and regulatory milestones.
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