29th Sep 2021 10:32
(Alliance News) - Avacta Group PLC on Wednesday said a pre-clinical development milestone has been achieved in the multi-target therapeutics development partnership with LG Chem Life Sciences, triggering an undisclosed milestone payment.
Avacta and LG Chem have a multi-target therapeutics development agreement to develop Affimer therapeutics in several disease areas. As part of the agreement, LG Chem has the exclusive rights to develop and commercialise Avacta's Affimer PD-L1 inhibitor with Affimer XT serum half-life extension.
Wetherby, England-based biotechnology company Avacta said LG Chem has completed some pre-clinical in-vivo models in the PD-L1/XT programme, leading to the selection of a pre-clinical candidate for further development towards the clinic and triggering an undisclosed milestone payment.
The partnership also provides LG Chem with rights to develop and commercialise other Affimer and non-Affimer biotherapeutics combined with Affimer XT half-life extension for a range of indications and Avacta could earn up to USD55 million in milestone payments for each of these new products.
In addition, under the agreement Avacta will earn royalties on all future Affimer XT product sales by LG Chem.
"I am delighted with the progress in our important strategic partnership with LG Chem," said Avacta Chief Executive Alastair Smith.
"I am particularly pleased that we have achieved this significant milestone with a novel Affimer bispecific product, which highlights the tremendous promise of the Affimer platform," added Smith.
Avacta shares were trading 4.3% higher in London on Wednesday at 117.90 pence each.
By Evelina Grecenko; [email protected]
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