Regeneron Pharmaceuticals (NASDAQ: REGN) has announced the acquisition of U.S. biotechnology company 2seventy Bio Inc. (NASDAQ: TSVT), securing all development and commercialization rights to the latter’s drug discovery platform, clinical manufacturing platform, and investigational innovative cell therapies. In conjunction with this acquisition, Regeneron will establish a new unit, Regeneron Cell Medicines, aimed at advancing the development of the acquired programs and its own cell therapies. The transaction is anticipated to be completed in the first half of 2024.
Per the agreement, Regeneron will acquire all development and commercialization rights for 2seventy Bio’s preclinical and clinical pipeline projects, as well as associated projects and related infrastructure and personnel costs. Regeneron will pay 2seventy Bio an upfront fee of USD 5 million and a milestone payment upon the first product approval, in addition to low-digit tiered sales royalties.
Philip Gregory, 2seventy Bio’s current Chief Scientific Officer, is set to be appointed as Senior Vice-President and Head of Regeneron Cell Medicines upon the completion of the transaction.
2seventy Bio is the owner of Abecma (idecabtagene vicleucel), a CAR-T therapy approved for the treatment of multiple myeloma in the U.S. since March 2021. Commercialized by Bristol-Myers Squibb, the drug generated USD 297 million in sales in 2022, with revenues shared between the two companies.
Earlier this month, 2seventy Bio entered into an exclusive collaboration agreement with China-based JW Therapeutics (HKEx: 2126), expanding on their initial partnership in October 2022. Concurrently with the expansion of the JW partnership in September last year, 2seventy Bio announced a substantial restructuring to reduce costs while preserving the company’s long-term growth potential. The company aimed to achieve at least USD 130 million in cost savings during 2024-2025, which included a workforce reduction of approximately 40%.- Flcube.com
