Transgene and BioInvent agree viral-based immuno-oncology collaboration

Immuno-oncology specialist BioInvent International (OMXS: BINV) and viral-based immunotherapy company Transgene (Euronext Paris: TNG) have entered into a collaboration to develop oncolytic virus (OV) candidates.

Shares in both companies rose around 2% in trading this morning.

Transgene will contribute both its OV design and engineering expertise as well as its proprietary engineered Vaccinia virus. BioInvent will provide its cancer biology and antibody expertise and technology to the collaboration.

The companies aim to optimize the efficacy of checkpoint inhibition, while reducing side effects.

The collaboration’s research and development costs, as well as the revenues and royalties from candidates generated by the collaboration, will be shared equally.

Transgene chief executive Philippe Archinard said: “Based on the compelling preclinical data we have generated, we expect the resulting OVs to deliver a significant improvement in overall survival, with an enhanced safety profile when compared to administering an OV and checkpoint inhibitor separately.”

Michael Oredsson, CEO of BioInvent, said: “We are confident that such next generation oncolytic viruses have the potential to significantly improve treatment of solid tumors.”