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Pfizer Buys Rights to PD-1 & VEGF Inhibitor From China Biotech

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Pfizer (PFE - Free Report) announced that it is in-licensing global development and commercialization rights, ex-China, to SSGJ-707, a bispecific antibody targeting PD-1 and VEGF, from Chinese biotech, 3SBio.

3SBio is already developing SSGJ-707 in China for non-small cell lung cancer (“NSCLC”), metastatic colorectal cancer, and gynecological tumors, with the first phase III study expected to begin this year.

Unlike the currently available marketed products, which target only the PD-1 protein, SSGJ-707 targets two proteins, PD-1 and VEGF. The blockade of two proteins, PD-1 and VEGF, can lead to a more robust anti-tumor response, compared to targeting either pathway alone

For the deal, Pfizer will make an upfront payment of $1.25 billion to 3SBio, with the latter also being entitled to milestone payments of up to $4.8 billion as well as tiered double-digit royalties on sales of SSGJ-707, if approved. Pfizer will also make an equity investment of $100 million in 3SBio upon close, subject to an agreement. Pfizer also retains an option for rights to commercialization in China. The transaction is expected to be closed in the third quarter.

Pfizer’s stock has declined 10.2% so far this year compared with a decrease of 4.0% for the industry.

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SMMT’s Dual PD-1/VEGF Inhibitor

Summit Therapeutics (SMMT - Free Report) is also developing a dual PD-1 and VEGF inhibitor, ivonescimab, in collaboration with China-based Akeso. The company acquired an exclusive license from Akeso in 2022 to develop and market the drug in the United States, Canada, Europe and Japan. Ivonescimab is already approved only in China to treat EGFR-mutated, locally advanced or metastatic non-squamous NSCLC.

In 2024, Summit Therapeutics reported positive data from a phase III study (conducted in China by partner Akeso) in patients with locally advanced or metastatic NSCLC, in which ivonescimab, outperformed Merck’s (MRK - Free Report) blockbuster PD-L1 inhibitor, Keytruda. Summit believes ivonescimab has the potential to replace Merck’s Keytruda as the next standard of care across multiple NSCLC settings.

PFE’s Zacks Rank

Pfizer currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Pfizer Inc. Price and Consensus

Pfizer Inc. Price and Consensus

 

 

 

 

 

 

 

 

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