US biotech Arrowhead Pharmaceuticals (Nasdaq: ARWR) scored a hit today, announcing a collaboration and licensing agreement with Japan’s largest drugmaker Takeda Pharmaceutical (TYO: 4502).
The companies will develop ARO-AAT, a Phase II investigational RNA interference (RNAi) therapy aiming to treat alpha-1 antitrypsin-associated liver disease (AATLD). ARO-AAT is a potential first-in-class therapy designed to reduce the production of mutant alpha-1 antitrypsin protein, the cause of AATLD progression.
Under the terms of the deal, Takeda and Arrowhead will co-develop ARO-AAT which, if approved, will be co-commercialized in the USA under a 50/50 profit-sharing structure. Outside the USA, Takeda will lead the global commercialization strategy and receive an exclusive license to commercialize ARO-AAT with Arrowhead eligible to receive tiered royalties of 20%-25% on net sales.
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