(Reuters) -Biogen said on Friday it has gained global rights to privately held Vanqua Bio’s experimental drug for up to $1.06 billion to expand its pipeline of immunology drugs.
The oral drug targets a protein involved in various inflammatory disorders and is currently in preclinical testing, the drugmaker said.
Biogen has been expanding into immunology and rare disease medicines through acquisitions and partnerships to drive revenue growth as sales continue to dwindle for its older multiple sclerosis drugs due to rising competition.
Last year, the drugmaker agreed to buy privately held Human Immunology Biosciences for up to $1.8 billion to gain access to its experimental drug being tested for rare immune-related conditions.
“This agreement strengthens Biogen’s immunology strategy by advancing a proven immune mechanism with the potential to address a broad range of inflammatory disorders with high unmet need,” the company said.
Under the agreement, Vanqua will receive an upfront payment of $70 million and is eligible to receive up to $990 million upon completion of certain development, regulatory and commercial milestones.
Biogen will lead all future development, manufacturing and commercialization efforts for the candidate.
The drugmaker said it expects to file a human trial application with the U.S. Food and Drug Administration in 2027.
(Reporting by Mariam Sunny in Bengaluru; Editing by Vijay Kishore)
