Chugai out-licenses recycling antibody SA237 to Roche

Japanese drugmaker Chugai Pharmaceutical (TYO: 4519) has concluded a license agreement with Roche (ROG: SIX) for SA237, an investigational, humanized monoclonal antibody designed to target the interleukin (IL)-6 receptor, created by Chugai.

Under the agreement, Chugai grants Roche, which is the majority shareholder of the Japanese firm, an exclusive license for the development and marketing of SA237 worldwide, with the exception of Japan, South Korea and Taiwan. Chugai will continue to be responsible for product manufacturing and supply of SA237. Chugai will receive an upfront fee, milestone and royalty payments from Roche. Further financial terms were not disclosed.

SA237 was invented by Chugai to block the activity of the IL-6 receptor, and successfully applies Chugai’s proprietary antibody-recycling technology. This design enables the antibody to bind to the target antigen repeatedly to extend the activity of antibodies. With its design, SA237 is expected to show clinical benefits with small injection volumes and long intervals between injections. Two multinational pivotal Phase III studies with patients suffering with neuromyelitis optica, an autoimmune disease of the central nervous system characterized by severe inflammation of the optic nerve and spinal cord, are currently being conducted by Chugai in more than ten countries, including US, Europe and Asia.