IDEAYA Biosciences in-licenses Hengrui’s SHR-4849

California-based IDEAYA Biosciences (Nasdaq: IDYA) has entered into an exclusive license agreement for SHR-4849, a novel DLL3-targeting Topo-I-payload antibody-drug conjugate (ADC) program with China’s Jiangsu Hengrui Pharmaceuticals (SHA: 600276).

As a result, Hengrui becomes eligible to receive upfront and milestone payments totaling $1.045 billion, including a $75 million upfront fee, up to $200 millionin development and regulatory milestone payments, plus commercial success-based milestones. Hengrui is also eligible for mid-single to low-double digit royalties on net sales outside of Greater China. The upfront and projected research and development costs, including potential milestone payments, does not change the earlier provided IDEAYA guided cash out runway of at least 2028, the US firm noted.

The latest accord adds to an agreement by IDEAYA Biosciences to exercise its option to exclusively license Biocytogen's potential first-in-class B7H3/PTK7 topo-I-payload bispecific ADC, dubbed IDE034. The deal between the two, signed in July 2024 and worth up to $406.5 million for Biocytogen, positions IDEAYA to advance IDE034 into clinical trials as early as 2025.