Inmagene exercises option on two Hutchmed drug candidates

Chinese biopharma Hutchmed (AIM: HCM) today announced that Hong Kong-based Inmagene Biopharmaceuticals has exercised options to license two drug candidates discovered by Hutchmed (formerly Chi-Med), IMG-007 and IMG-004 under the terms of the strategic partnership announced on January 11, 2021.

Following the exercise of the Options and subject to receipt by Hutched of ordinary shares representing around 7.5% of shares (fully diluted) in Inmagene, Inmagene will be granted an exclusive license to further develop, manufacture and commercialize these two drug candidates worldwide.

As part of the partnership, Hutchmed granted Inmagene exclusive options to multiple drug candidates solely for the treatment of immunological diseases. Since the execution of the option agreement, Inmagene has funded and led two of these candidates, IMG-004 and IMG-007, to clinical development. For each of the drug candidates, IMG-004 and IMG-007, Hutchmed is entitled to receive potential payments subject to the achievement of development milestones of up to $92.5 million and subject to the achievement of commercial milestones of up to $135 million, as well as royalties upon commercialization.