AstraZeneca Inks Over $2B Agreement For Cell Therapies Targeting Diabetes

AstraZeneca plc AZN has entered into a collaboration, exclusive option, and license agreement with Quell Therapeutics to develop multiple engineered T-regulator (Treg) cell therapies for Type 1 Diabetes (T1D) and Inflammatory Bowel Disease (IBD) indications.

Under the terms of the agreement, Quell’s proprietary toolbox of Treg cell engineering modules, including its Foxp3 Phenotype Lock, will be leveraged to develop autologous multi-modular Treg cell therapy candidates for major autoimmune disease indications. 

AstraZeneca will have the option to further the development and commercialization of successful clinical candidates in T1D and IBD.

Quell will receive $85 million upfront from AstraZeneca, which comprises a cash payment and an equity investment. 

Quell is also eligible to receive over $2 billion for further development and commercialization milestones, plus tiered royalties. 

In addition, Quell retains an option, which can be exercised either after approval of an Investigational New Drug (IND) application or at the end of Phase 1/2 study, to co-develop Treg cell therapies from the T1D program with AstraZeneca in the U.S. in exchange for additional milestone payments and increased royalties on US net sales.

Price Action: AZN shares are down 0.84% at $73.63 during the premarket session on the last check Friday.

Market News and Data brought to you by Benzinga APIs
Posted In: BiotechLarge CapNewsHealth CareContractsGeneralBriefs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!