Pfizer, Innovent ink $10.5B global cancer drug deal

Pfizer Inc. and China-based Innovent Biologics Inc. have entered a global licensing and collaboration agreement potentially worth up to $10.5 billion to jointly develop 12 early-stage cancer medicines. The deal, announced by the companies, includes a $650 million upfront payment to Innovent and up to $9.85 billion tied to achieving development, regulatory, and commercial milestones.

The partnership focuses on a portfolio of antibody-drug conjugates (ADCs) and multispecific antibodies, comprising eight early-stage programs originated by Innovent and four discovery programs contributed by Pfizer. Under the terms, Innovent will lead development through Phase 1 clinical trials before Pfizer assumes responsibility for global development and commercialization. The deal is structured in three tiers: four programs will be co-developed and co-commercialized globally, with profits shared in the United States and Europe while Innovent retains rights in Greater China; for another four, Pfizer receives an exclusive license outside Greater China; and for the remaining four, Pfizer holds an exclusive global license and bears all development costs.

Executives from both companies framed the...