ADC Therapeutics, Sobi Ink European Licensing Pact For Lymphoma Drug

In This Article:

  • ADC Therapeutics SA (NYSE: ADCT) has entered into an exclusive license agreement with Swedish Orphan Biovitrum AB (OTC: BIOVF) for the development and commercialization of Zynlonta for all hematologic and solid tumor indications outside of the U.S., Greater China, Singapore, and Japan.

  • ADC Therapeutics and Sobi intend to make Zynlonta available following a regulatory decision expected by Q1 of 2023.

  • ADC Therapeutics will receive an upfront payment of $55 million.

  • It is eligible to receive $50 million upon regulatory approval of Zynlonta in third-line diffuse large B-cell lymphoma by the European Commission and up to approximately $330 million in additional regulatory and sales milestones.

  • Related: HC Wainwright Says This Lymphoma Candidate Has Better Response Rates Than Approved Medications.

  • ADC Therapeutics will also receive a percentage of sales-based royalties ranging from the mid-teens to the mid-twenties.

  • Sobi will share a portion of select global Zynlonta trial costs.

  • In April 2021, the FDA granted accelerated approval to Zynlonta as the first and only CD19-targeted ADC as a single-agent treatment for adult patients with relapsed or refractory DLBCL after two or more lines of systemic therapy.

  • Price Action: ADCT shares closed higher by 2.46% at $9.16 on Thursday.

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