Eisai in-licenses rights to Huya cancer compound

Japanese drug major Eisai (TYO: 4523) saw its shares leap 7.2% to 7,774 yen yesterday, after it revealed it has entered into an exclusive license agreement with Chinese pharma company Huya Bioscience International to develop and market the oral histone deacetylase (HDAC) inhibitor HBI-8000 in Japan, South Korea, Thailand, Malaysia, Indonesia, Philippines, Vietnam and Singapore.

HBI-8000 is an oral HDAC inhibitor approved in China for use in the treatment of peripheral T-cell lymphoma (PTCL). Non-clinical data suggest HBI-8000 has epigenetic properties that work to regulate tumor cell growth, and the agent is believed to have immunomodulatory properties as well. HBI-8000 is at the clinical stage of testing in Japan as a treatment for PTCL, a type of non-Hodgkin's lymphoma, under orphan drug designation from the regulatory authority in Japan. Meanwhile, a Phase I clinical study of the agent in solid tumors has been completed in the USA.

Deal could generate up to $280 million-plus for Huya

Eisai agreed to pay Huya upfront and potential milestone payments totaling up to $280 million, plus royalties on net sales.

Under the agreement, Eisai has exclusive rights to develop and market HBI-8000 in the licensed territories. However, for PTCL and adult T-cell leukemia-lymphoma, Huya will complete development of the agent for these indications and Eisai will be responsible for commercialization. According to the agreement, Eisai will pay Huya upfront, development and commercial milestone payments as well as royalties over the term of the license, respectively.

Eisai positions oncology as a key franchise area, and is committed to providing new treatment options for patients with cancer in order to further contribute to addressing unmet medical needs that exist in the treatment of cancer as well as increase the benefits provided to patients and their families.