$75M Increase: Leading Biopharmaceutical Company Receives Breakthrough Investment
Aspergillus Pharma Receives Landmark $75 Million Equity Investment from Takeda to Advance Global Efforts to Develop New Cancer Therapies
June 26, 2024
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In a significant move for the biotechnology industry, Ascent Pharma (6855.HK), a global biopharmaceutical company focused on novel treatments for cancer, chronic hepatitis B (CHB) and age-related diseases, has successfully completed a US$75 million equity investment from Takeda Pharmaceuticals. The transaction, which closed on June 20, 2024, involved the issuance of 24,307,322 public offering shares to Takeda at a purchase price of HK$24.09850 (approximately US$3.08549) per share.
This investment marks a major milestone for Ascentage Pharma and reflects Takeda’s confidence in the company’s innovative therapeutic pipeline and ongoing clinical development program. With this capital injection, Ascentage Pharma plans to accelerate its mission to address unmet clinical needs globally, with a particular focus on strengthening its research and development capabilities and accelerating clinical trials.
Earlier this month, Takeda announced that it had entered into an option agreement with Ascentage Pharma to potentially acquire an exclusive worldwide license to olverenmatinib, a third-generation BCR-ABL tyrosine kinase inhibitor (TKI) for the treatment of chronic myeloid leukemia (CML) and other blood cancers. The agreement allows Takeda to develop and commercialize olverenmatinib outside of mainland China, Hong Kong, Macau, Taiwan and Russia, addressing a significant unmet need for patients resistant to current TKI therapies. Ascentage Pharma will continue the late-stage clinical development of the drug before Takeda exercises its licensing option. The collaboration is in line with Takeda’s commitment to advancing treatment options for blood cancers. The agreement includes a $100 million option payment if the option is exercised, as well as additional milestone and royalty payments.
This strategic alliance not only significantly strengthens Ascent Pharma’s financial position, it also strengthens our collaboration with Takeda and leverages Takeda’s global commercial expertise to enhance distribution of our medicines around the world. With a primary focus on olverenmatinib, the alliance aims to expedite regulatory approval and address important patient needs in oncology and beyond. Ultimately, this alliance highlights the pivotal role of strategic investments in advancing innovative therapies and improving patient outcomes around the world.
About Takeda
Takeda is committed to improving the health of people and improving the future of the world. We strive to discover and deliver life-changing therapies across our core therapeutic and business areas, including gastroenterology & inflammation, rare diseases, plasma-derived therapies, oncology, neuroscience and vaccines. Together with our partners, we aim to improve patient experiences and break new ground in treatment options through our dynamic and diverse pipeline. As a leading global, values-based, R&D-driven biopharmaceutical company headquartered in Japan, we are guided by our commitment to patients, our employees and the planet. Our employees in approximately 80 countries and regions are driven by our purpose in life and rooted in the values ​​that have defined us for more than two centuries. For more information, visit www.takeda.com.
About Ascentage Pharma
Ascentage Pharma (6855.HK) is a global biopharmaceutical company focused on developing novel therapies for the treatment of cancer, chronic hepatitis B and age-related diseases. On 28 October 2019, Ascentage Pharma listed on the Main Board of the Stock Exchange of Hong Kong under the stock symbol 6855.HK.
Ascentage Pharma is focused on developing therapeutics that inhibit protein-protein interactions to restore apoptosis (programmed cell death). The company has built a pipeline of nine clinical candidates, including a novel highly potent Bcl-2 inhibitor, a Bcl-2/Bcl-xL dual inhibitor, candidates targeting the IAP and MDM2-p53 pathways, and a next-generation tyrosine kinase inhibitor (TKI). Ascentage Pharma is also the only company in the world with active clinical programs targeting all three known classes of key apoptosis regulators. The company is conducting more than 40 clinical trials, including five global registration Phase III studies, in the United States, Australia, Europe, and China. Ascentage Pharma has been designated for multiple major national research and development projects, including five major new drug projects, one new drug incubator status, four innovative drug programs, and one major project for the prevention and treatment of infectious diseases.
Olverenmatinib, the company’s core candidate developed for the treatment of drug-resistant chronic myeloid leukemia (CML) and its first product approved in China, has received Priority Review and Breakthrough Therapy Designations from the Center for Drug Evaluation (CDE) of the China National Medical Products Administration (NMPA). To date, the drug has been included in China’s 2022 National Reimbursement Drug List (NRDL). In addition, Olverenmatinib has received Orphan Drug Designation (ODD) and Fast Track Designation (FTD) from the U.S. FDA and Orphan Drug Designation from the EU’s EMA. To date, Ascentage Pharma has received a total of 16 ODDs from the U.S. FDA and one Orphan Drug Designation from the EU’s EMA for four of its investigational drug candidates.
Leveraging its strong R&D capabilities, Ascentage Pharma has built a portfolio of global intellectual property rights and has formed global partnerships with many renowned biotechnology and pharmaceutical companies and research institutes, including UNITY Biotechnology, MD Anderson Cancer Center, Mayo Clinic, Dana-Farber Cancer Institute, MSD and AstraZeneca. The company has built a talented team with global experience in innovative drug discovery and development, and has launched a world-class commercial manufacturing and sales & marketing team. One of Ascentage Pharma’s key goals is to continuously strengthen its R&D capabilities and accelerate its clinical development programs to fulfill its mission of addressing unmet clinical needs in China and around the world for the benefit of more patients.
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