Ligachem Biosciences (141080.KQ) will license technology from domestic biotech firm Abion (203400.KQ) to develop next-generation antibody-drug conjugates (ADCs).
Ligachem Biosciences said in a regulatory filing on the 30th that it had signed a joint research and licensing agreement with Abion for an immunocytokine antibody-drug conjugate (iADC) platform. The two companies will jointly research and develop iADCs that apply Ligachem Biosciences' ADC platform technology to Abion's immunocytokine antibody based on an interferon beta variant.
While conventional ADCs use antibodies to deliver drugs, known as payloads, selectively to cancer cells, iADCs add the immune-modulating function of immunocytokines. An immunocytokine antibody links an antibody to a cytokine, a signaling protein that regulates immune cell activity.
Under the agreement, Ligachem Biosciences can designate up to five targets and has secured exclusive worldwide rights to develop and commercialize iADC candidates directed at those targets.
Financial terms, including the upfront payment, were not disclosed. The agreement covers an upfront payment and joint research fees, as well as milestone payments tied to development and commercialization stages for each target, along with royalties.
If Abion seeks to license the iADC technology to a third party in the future, it must first notify Ligachem Biosciences and enter into negotiations with the company. Any revenue generated from a third-party licensing deal will be shared between the two companies at a ratio agreed in advance.
