Top Biopharma Partnership by Upfront Cash and Equity
Arvinas development and commercialization deal with Pfizer for ARV-471
Announced: July 22, 2021
Total Deal Value: $2,400M
Upfront Cash: $650M
Upfront Equity: $350M (3.5M new common, 30% prem.)
Option Payments: n/a
Milestones: $1,400M ($400M Reg. and $1B Sales)
Cost and Profit Split: 50%
Phase II ARV-471 oral PROTAC (PROteolysis TArgeting Chimera) estrogen receptor protein degrader for the treatment of estrogen receptor (ER) positive or human epidermal growth factor receptor 2 (HER2) negative (ER+/HER2-) locally advanced or metastatic breast cancer.
Development and Commercial License
Equal cost and profit split for development and commercialization.
- Arvinas granted Pfizer exclusive, worldwide rights to develop and commercialize ARV-471 for ER+/HER2- breast cancer.
- Arvinas and Pfizer will split development and commercialization costs and profits equally.
- Arvinas will receive $650M in upfront cash and Pfizer will receive approximately 3.5M newly issued shares of Arvinas common stock at a 30% premium valued at $350M, which represents an approx. 7% equity ownership stake by Pfizer. Additionally, Arnivas is eligible for up to $400M in approval milestones and up to $1B in commercial milestones.
The Deal of the Month for June 2021 was iTeos and GSK’s TIGIT deal with $625M up front for EOS-448. Read about it here.
DealForma’s Deal of the Month selection is based on the largest disclosed upfront cash and equity total in partnership deals involving R&D as announced in the month prior to this article. Data for this analysis was compiled using the DealForma biopharma deals database. All data are based on publicly disclosed figures and deal terms. We invite you to answer interesting questions on biopharma business development and licensing using our data and carefully curated profiles on deals, pipelines, companies, funding, and business executives by visiting dealforma.com to schedule your personalized demo.
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More Research by DealForma
The top biopharma deal upfront for June 2021 was iTeos and GSK’s partnership for anti-TIGIT mAb EOS-448. iTeos will receive $625M up front, up to $1.45B in milestones, a U.S. profit split and ex-U.S. tiered royalties.
Top Biopharma Deal May 2021: Agenus – BMS for AGEN-1777 Bispecific Anti-TIGIT Antibody for Non-Small Cell Lung Cancer
The top biopharma deal upfront for May 2021 was Agenus and BMS’ partnership for anti-TIGIT mAb AGEN-1777. Agenus will receive $200M up front.
Top Biopharma Deal April 2021: CRISPR – Vertex for CTX001 for Sickle Cell Disease and Transfusion-Dependent Beta-Thalassemia
CRISPR Therapeutics and Vertex Pharmaceuticals amended their 2015 deal to develop and commercialize gene editing therapies. This expansion is for Phase I/II CTX001 for severe sickle cell diseases and transfusion-dependent beta-thalassemia. CRISPR will receive $900M up front, up to $200M in milestones upon the first regulatory approval, and a cost/profit split of 40%.
Debiopharm granted Merck exclusive, worldwide rights to develop and commercialize Xevinapant in Phase III for advanced squamous cell carcinoma of the head and neck. Debiopharm will receive EUR188M ($227M) up front and is eligible for up to EUR710M ($856M) in milestones, plus royalties. This was the largest upfront cash and equity for a partnership signed in March 2021.
Biotech and pharma deals in 2020 soared to an all-time high of 1,154 signed deals with $146.3 billion in total value, defying expectations that the global Covid-19 pandemic would hamper dealmaking. Global healthcare and life sciences R&D partnership activity was up 23 percent over 2019 and total deal values rose 31 percent from the previous year, driven in part by advances in technological and molecular understandings of disease pathways, and a drive toward targeted precision medicines.
Vir Biotechnology and GSK expanded their partnership with a new deal to develop VIR-2482 and mAbs for influenza. This was the largest upfront cash and equity for a partnership signed in Feb. 2021.
Biotech and pharma M&A total deal values slumped in 2020, despite an active year in life sciences dealmaking, with no big standout biopharma deals until late in the second half of the year. We look at the extensive DealForma database to see how life sciences M&A activity shaped up in 2020 in more detail.
This article is a sample from the DealForma Annual Deal Trends Report provided to database subscribers. Data for this analysis was compiled using the DealForma biopharma deals database. We applied initial filters for mergers and acquisitions, therapeutic areas, asset...
Over the last three years, there have been eight M&A deals for companies developing advanced first generation and next gen cancer cell therapies. Six of them have been completed to date.
We looked at 10 years of gene therapy deals, M&A, venture funding, and academic partnerships for an article by John Carroll at Endpoints News.
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