Xentria Inc., a clinical-stage biotherapeutics company focused on developing therapeutics to address unmet clinical needs, and Meitheal Pharmaceuticals, Inc., announced an exclusive multi-year licensing agreement to commercialize its lead candidate, and novel biologic, XTMAB-16 for pulmonary sarcoidosis in North America.
Under the terms of the agreement, Meitheal Pharmaceuticals gains exclusive rights to commercialize XTMAB-16 in North America and Xentria remains responsible for clinical development and retains the marketing rights in all other countries subject to a right of first offer.
As part of the agreement, Xentria will receive an up-front payment of $45 million as well and an additional amount of up to $35 million on regulatory submission and approval of XTMAB-16, along with potential milestone-based royalties for a licensing deal in excess of $600 million over the term of the agreement. Upon achievement of $600 million in royalty payments the intellectual property associated with XTMAB-16 will transfer to Meitheal’s parent company, Hong-Kong King Friend Industry Co., Ltd.
XTMAB-16 – an anti-TNFα monoclonal antibody – will be tested in Phase 2 clinical trials later this year for its ability to reduce an inflammatory response believed to occur in patients living with pulmonary sarcoidosis. Sarcoidosis is a chronic, multisystem inflammatory disorder that more commonly occurs in women and African Americans.
Kirsten Anderson, COO of Xentria said: “This strategic partnership further demonstrates Xentria’s ability to build comprehensive scientific solutions to advance challenging drug development through valued partnerships. The collaboration will leverage the strengths of both companies to accelerate the development of XTMAB-16, which could emerge as one of a few therapeutics in development specifically for treating pulmonary sarcoidosis, in contrast to symptomatic steroid treatment as the current standard of care. The partnership also validates compelling pre-clinical data and the potential of XTMAB-16 to fill the existing treatment gap in pulmonary sarcoidosis as we enter the first trial in patients living with the condition.”
“Meitheal has established itself as a fully integrated R&D, manufacturing and commercial pharmaceutical company and this strategic partnership will enable further advancement of XTMAB-16 for pulmonary sarcoidosis where patients face a significant gap in treatment”, said Tom Shea, CEO of Meitheal. “Meitheal is thrilled to be collaborating with Xentria, as we seek to bring XTMAB-16 to patients in North American and we look forward to creating a new branded division to further its advancement and potential commercialization.”