AstraZeneca announces license agreement with KYM Biosciences for CMG901

AstraZeneca and KYM Biosciences Inc. have entered into a global exclusive license agreement for CMG901, a potential first-in-class antibody drug conjugate targeting Claudin 18.2, a promising therapeutic target in gastric cancer, AstraZeneca announced. Under the license agreement, AstraZeneca will be responsible for the research, development, manufacture and commercialization of CMG901 globally. CMG901 is currently being evaluated in a Phase I clinical trial for the treatment of Claudin 18.2-positive solid tumours, including gastric cancer. Preliminary results from the Phase I trial have shown an encouraging clinical profile for CMG901, with early signs of anti-tumour activity across the dose levels tested. AstraZeneca will make an upfront payment of $63M on transaction closing and additional development and sales-related milestone payments of up to $1.1B to KYM Biosciences as well as tiered royalties up to low double digits. The transaction is expected to close in the first half of 2023, subject to customary closing conditions and regulatory clearances. The transaction does not impact AstraZeneca’s financial guidance for 2023.