Swiss pharmaceutical corporation Roche has acquired the antibody-drug conjugate (ADC) candidate from the Chinese biotech company Innovent Biologics for a total contract value of $1 billion (approximately 1.4665 trillion won). ADC is considered a key technology for next-generation cancer treatments that selectively deliver drugs to cancer cells. Following last year, large-scale transactions to secure ADCs in the global pharmaceutical market are expected to continue this year.
Innovent Biologics announced on the 2nd (U.S. local time) that it has signed a global development and sales license (technology transfer) agreement with Roche for the ADC "IBI3009," which is being developed as a treatment for small cell lung cancer. The upfront payment is $80 million (approximately 117.3 billion won), bringing the total contract value to 1 trillion won (approximately 1.4665 trillion won).
IBI3009 is an ADC candidate targeting DLL3, an antigen that is low in expression in normal tissues but significantly overexpressed in certain cancers, particularly small cell lung cancer and neuroendocrine tumors. With this agreement, Roche has secured global exclusivity for the development, manufacturing, and commercialization of IBI3009, thereby strengthening its research and development (R&D) pipeline.
Roche successfully commercialized the cancer drug "Kadcyla," which targets the HER2 protein gene in breast cancer, receiving approval in the U.S. and Europe in 2013. This was the first ADC cancer treatment in the solid tumor sector, and its annual revenue in 2023 reached $3 billion (approximately 4.4 trillion won).
Roche and Innovent plan to jointly conduct the early-stage development of IBI3009, after which Roche will take over the overall development. Previously, they received clinical trial plan (IND) approval in Australia, China, and the U.S., with the first patient dosing for Phase 1 clinical trials occurring in December 2024.
Boris L. Zaïtra, head of business development at Roche, noted, "This collaboration with Innovent has been pursued to develop a new treatment for patients with small cell lung cancer, and given our long history in the ADC field, we will strive to meet the unmet medical needs of solid tumor patients."
Recently, R&D and technology acquisition transactions in the ADC field have been active in the global pharmaceutical and biotech market. This is because they are recognized as a technology that surpasses the limitations of existing cancer therapies that either fail to effectively target cancer cells or cause damage to other normal cells. ADCs are likened to missiles (antibodies) that swiftly and accurately strike their target (cancer cells) to detonate the warhead (drugs). They are highly evaluated for having fewer side effects while providing effective treatment.
Last year, major companies such as AbbVie, Johnson & Johnson (J&J), Bristol-Myers Squibb (BMS), Germany's Merck, Denmark's Genmab, and France's Ipsen conducted large-scale transactions to secure ADC candidates. According to IQVIA, a global pharmaceutical market research institution, new ADC clinical trials reached 340 in 2022, more than tripling from 100 in 2020.
According to Seogunhee of Samsung Securities Research Institute, initial ADC therapeutic development faced challenges due to the lack of stable linker technology and issues with drug delivery efficiency and low cellular toxicity, but improvements in ADC technology have led to significant increases in the ADC market.
According to the Korea Pharmaceutical and Bio-Pharma Manufacturers Association, a total of 15 ADC drugs have been approved globally as of now. Market research firm MarketsandMarkets projects that the global ADC market will grow from $9.7 billion in 2023 to $19.8 billion by 2028, reflecting an average annual growth rate of 15.2%.