Neoimmunetech(950220) signed its first technology transfer deal since listing on KOSDAQ. It will hand over rights to develop and commercialize the immuno-oncology candidate "NT-I7" related to thymic dysfunction to a U.S. biotech and receive up to $260 million (about 366.9 billion won) in milestones.
Neoimmunetech said on the 19th that it signed a contract with the U.S. biotech "Tolerance Bio" to transfer exclusive rights to develop and commercialize NT-I7 in the Americas and Europe.
The target indications are thymic dysfunction-related diseases, including immune reconstitution in people with HIV infection. NT-I7 is an interleukin-7 (IL-7) class immunotherapy candidate developed by Neoimmunetech.
The upfront payment is not cash but 4% fully diluted equity in Tolerance Bio. In addition, it will receive stepwise milestones of up to $260 million depending on clinical development and sales achievements. Once the product is commercialized, it will also receive running royalties linked to annual net sales.
The company said the deal is meaningful in that it transferred rights for an indication it had not been directly developing to an external partner. It plans to have Tolerance Bio handle development related to thymic dysfunction for NT-I7 going forward and to focus its capabilities on its existing core program in immuno-oncology.
Tolerance Bio is a U.S. biotech that develops immunological disease treatments based on preservation, restoration, and modulation of thymic function. Its founding team includes personnel from Provention Bio who developed the type 1 diabetes treatment "TZIELD." Provention Bio was acquired by Sanofi in 2023 for about $2.9 billion.
Francisco Leon, M.D., founder and chief executive officer (CEO) of Tolerance Bio, led U.S. Food and Drug Administration (FDA) approval of TZIELD at Provention Bio. He later participated in the process of selling Provention Bio to Sanofi.
Neoimmunetech said it selected Tolerance Bio as a partner in light of its expertise in thymic biology, experience in new drug development and FDA approvals, and global commercialization.