Daiichi Sankyo, Ultragenyx in Gene-Therapy Mfg Pact Worth Up To $225 MBy
Daiichi Sankyo has formed a licensing pact with Ultragenyx Pharmaceutical, a biopharmaceutical company developing drugs for rare and ultra-rare genetic diseases, for the non-exclusive use of Ultragenyx’s adeno associated virus (AAV) based gene-therapy manufacturing technology in a deal worth up to $225 million.
Under this agreement, Daiichi Sankyo will complete a technology transfer from Ultragenyx, and following this transfer, Daiichi Sankyo will expand its manufacturing capacity with the cooperation of Ultragenyx and with the intention of starting the manufacture of investigational drugs for AAV gene therapy by the mid-2020s.
Daiichi Sankyo will make an upfront payment of $125 million to Ultragenyx at the time of this agreement as well as an additional payment of $25 million at the time of the successful technology transfer and sales royalties of products manufactured by Ultragenyx’s technology. Daiichi Sankyo will also purchase Ultragenyx common stock worth $75 million.
Daiichi Sankyo is currently doing discovery research for gene therapies using AAV vectors. Ultragenyx has developed its own AAV production system using HeLa and HEK293 cells. In the research and development of gene therapies, AAV vector can be used to transfer genes into various human tissues.