Beyond ADCs: CAR-T Therapies Shine in Global Licensing Deals Amid Industry Expansion

　　【Pharmaceutical Network Industry Dynamics] Currently, BD (Business Development) has become an important approach for leading pharmaceutical companies both in China and internationally to strategically position themselves in relevant fields. Since 2023, ADC licensing collaboration deals in the pharmaceutical sub-sector have been particularly active. According to a report by a securities firm, since 2023, there have been more than 10 overseas licensing deals for Chinese-produced ADCs. Just as 2024 began, MediLink announced that it would license its ADC candidate product YL211 to the multinational pharmaceutical company Roche, with the potential total value of the deal exceeding 1 billion US dollars.
 

Besides ADC, the CAR-T therapy field also shines in overseas licensing. For instance, just recently, Legend Biotech, a subsidiary of Nanjingjinsirui Science & Technology Biology Corp, announced that on January 3, 2024 (New York time), it completed a licensing agreement with Novartis. Reportedly, what Novartis has set its sights on is Legend Biotech's specific DLL3-targeted Chimeric Antigen Receptor T-cell (CAR-T) therapy. According to the agreement, Legend Biotech will receive an upfront payment of 100 million US dollars and milestone payments of up to 1.01 billion US dollars, with the total transaction amounting to as high as 1.11 billion US dollars.
 

On December 26, 2023, Gracell Biotechnologies, a company developing CAR-T (Chimeric Antigen Receptor T-Cell Immunotherapy) in China, announced that it would be acquired by AstraZeneca. The total transaction value of this acquisition is approximately $1.2 billion. The deal is expected to close in the first quarter of 2024. Upon completion of the transaction, Gracell will be delisted from Nasdaq and continue its operations in China and the United States as a wholly-owned subsidiary of AstraZeneca. Gracell possesses a differentiated CAR-T technology platform, including the FasTCAR platform for autologous CAR-T, the TruUCAR platform for allogeneic CAR-T, and the SMART CART module for solid tumors. Currently, the company has a dual-target CAR-T therapy, GC012F, targeting BCMA and CD19. This product covers indications including various hematological malignancies and autoimmune diseases. Its leading program, for relapsed/refractory multiple myeloma (RRMM), is already in Phase 1b/2 clinical trials in the United States.
 

On May 2, 2023, Cellular Biomedicine Group (CBMG) announced a licensing collaboration with Janssen Pharmaceuticals, a subsidiary of Johnson & Johnson, for the co-development and commercialization of next-generation novel CAR-T cell therapy products C-CAR039 (targeting CD19/CD20) and C-CAR066 (targeting CD20), intended for the treatment of non-Hodgkin lymphoma (NHL). Under the terms of the agreement, Janssen will obtain the development rights for C-CAR039 and C-CAR066 outside of China, as well as the right of first refusal for development within China. CBMG will receive an upfront payment of $245 million and is eligible for multiple milestone payments upon achieving certain predefined clinical development, regulatory submission, commercialization, and sales milestones. Following commercialization, CBMG will also receive sales royalties from Janssen’s net sales.
 

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According to reports, CAR-T cell therapy is a chimeric antigen receptor T-cell immunotherapy, which belongs to personalized custom drugs and has the advantage of requiring only one intravenous infusion. However, due to the high technical research threshold of this therapy, only more than 10 CAR-T cell therapy products have been approved for marketing so far, half of which come from pharmaceutical companies in China. In March 2022, Cilta-cel developed by Legend Biotech was approved for marketing in the United States for the treatment of patients with relapsed or refractory multiple myeloma. However, it has not yet been approved for marketing in China.
 

CAR-T Cell Therapy: A Promising Sector in the Biotech Industry with Vast Market PotentialAccording to data from overseas research firm Precedence Research, the global CAR-T cell therapy market size was $3.8 billion in 2022 and is projected to reach approximately $88.52 billion by 2032, with a compound annual growth rate (CAGR) of 29.8% from 2023 to 2032.
 

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