Genmab Provides Extra ADC Firepower With $1.8B ProfoundBio Acquisition

Genmab, an organization whose antibodies are a part of medicine commercialized and in growth within the palms of companions throughout the biopharmaceutical trade, is increase its personal pipeline with the $1.8 billion acquisition of ProfoundBio. The deal introduced Wednesday brings Genmab three clinical-stage antibody drug conjugates, or ADCs, essentially the most superior of which may compete towards an AbbVie drug projected to turn out to be a blockbuster vendor.

Privately held ProfoundBio is considered one of a rising variety of corporations growing ADCs, which chemically hyperlink a poisonous drug payload to an antibody to supply focused supply of the remedy to tumors. The Seattle-based firm develops its ADCs with a linker expertise that permits a better drug to antibody ratio, growing the remedy’s efficiency whereas sustaining different properties, resembling its security profile.

Lead ProfoundBio program rinatabart sesutecan, or Rina-S, targets folate receptor alpha. This ADC is presently being evaluated within the Part 2 portion of a pivotal Part 1/2 research in ovarian most cancers. Folate receptor alpha can also be the goal of Elahere, a drug developed by ImmunoGen that in 2022 grew to become the primary ADC authorised for ovarian most cancers. Elahere was the centerpiece of AbbVie’s $10.1 billion acquisition of ImmunoGen final yr. The drug’s label carries a black field warning relating to the danger visible impairment, corneal injury, and different eye issues. Rina-S has not proven any corneal toxicity, in accordance with preliminary outcomes from the dose-escalation portion of the research that had been introduced final fall in the course of the annual assembly of the Society of Immunotherapy for Most cancers (SITC).

In a word despatched to buyers, Leerink Companions analyst Jonathan Chang wrote that ProfoundBio’s Rina-S may very well be best-in-class amongst folate receptor alpha-targeting ADCs, providing the potential to develop the addressable affected person inhabitants whereas additionally providing higher security than Elahere. Referencing the SITC knowledge, Chang highlighted a 38% total response charge throughout all doses in ovarian and endometrial most cancers sufferers in addition to a 67% total response charge amongst sufferers with folate receptor alpha expression larger than 1%. As a result of Elahere’s FDA approval covers the therapy of sufferers who specific excessive ranges of the goal protein, Rina-S might supply a therapy choice for sufferers with low folate receptor alpha ranges.

“The danger is that the acquisition is predicated on comparatively restricted scientific knowledge so far though administration indicated that they’d entry to non-publicly out there knowledge,” Chang stated. “We view this transaction as including a formidable competitor to this area given [Genmab’s] monitor document of well timed and aggressive scientific growth.”

Copenhagen-based Genmab already has a presence in ADCs by companions. Tivdak, a drug developed with an antibody from Genmab and ADC expertise from Seagen (now a part of Pfizer), gained FDA approval in 2021 for treating superior cervical most cancers. The 2 corporations share within the commercialization of this drug, which is Genmab’s first authorised product. Genmab additionally information income from Epkinly, a bispecific antibody authorised final yr for cervical most cancers and commercialized underneath a partnership with AbbVie.

Genmab will get the vast majority of its income from royalties paid by corporations which have commercialized medicine using its antibodies. A single drug, the Johnson & Johnson a number of myeloma treatment Darzalex, accounted for 68% of 2023 income, in accordance with the corporate’s annual report. Whereas that royalty income continues to develop, Genmab’s technique contains growing medicine by itself and with companions. The Genmab pipeline spans 9 applications in numerous phases of growth for each strong tumors and blood cancers.

ProfoundBio, led by veterans of the ADC specialist Seagen, raised its preliminary funding in 2021. Its most up-to-date financing was a $112 million Sequence B financing in February. ADCs proceed to be a sizzling drug class for dealmaking. Gilead Sciences gained the ADC Trodelvy through an acquisition. AstraZeneca’s collaboration with Daiichi Sankyo led to a number of approvals for the ADC Enhertu. The Japanese drugmaker additionally has an alliance with Merck. Ipsen joined the ADC combine this week, licensing a Sutro Biopharma drug candidate. Startups that lately raised cash for ADC R&D embrace Tubulis and Firefly Bio.

Genmab’s acquisition of ProfoundBio is a money deal. The boards of each corporations have authorised the transaction, which is predicted to shut by the tip of June.

“We consider that ProfoundBio’s ADC candidates, proprietary expertise platforms and gifted workforce shall be a fantastic addition to Genmab and that, collectively, we will speed up the event of progressive, differentiated antibody therapies for most cancers sufferers,” Genmab President and CEO Jan van de Winkel stated in a ready assertion.

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