Incyte and Zai Lab Ltd. announced that the companies have entered into an agreement for the development and commercialization of an investigational antibody, in Greater China.
Incyte is based near Wilmington.
Under the terms of the agreement, Zai Lab will pay Incyte $17.5 million up front, and Incyte is eligible to receive up to an additional $60 million in potential development, regulatory and commercial milestones, as well as tiered royalties from the low to mid-twenties, with Incyte responsible for all royalties and pass-through payments to its licensing partner, MacroGenics, Inc.
Zai Lab will receive the rights to develop and exclusively commercialize the antibody in blood diseases and cancer oncology in mainland China, Hong Kong, Macau and Taiwan. Incyte will retain an option to assist in the promotion in Zai Lab’s licensed territories.
Incyte’s leading drug is Jakafi, which treats blood diseases and is under development for other uses.
“The collaboration with Zai Lab further allows us to expand our potential to bring new medicines to patients with cancer around the world,” said Hervé Hoppenot, CEO, Incyte. “We believe Zai Lab’s experienced team will be an important strategic partner in helping to support the expansion of our research and development efforts for INCMGA0012, and if approved, provide access to an important new therapy to patients and healthcare providers in Greater China.”
The transaction is effective immediately upon the execution of the collaboration and license agreement.