Aveo Licenses Antibody to Novartis for Treatment of Cachexia
US biopharmaceutical company Aveo Oncology has entered into a global license agreement with Novartis for its AV-380 and related antibodies. AV-380 is a potent inhibitory antibody that targets growth differentiation factor 15 (GDF15), a pro-inflammatory cytokine whose elevated levels have been correlated with the complex metabolic syndrome known as cachexia.
Preclinical data has shown that inhibiting GDF15 may reverse the effects of cachexia which is a serious and common complication in patients with advanced cancer and other chronic diseases. The syndrome is associated with malnutrition and severe involuntary weight loss due to the loss of muscle and fat tissue, as well as the onset of anaemia, inflammation and suppression of immune functions.
Under the terms of the deal, Aveo will receive a payment upfront of $15 million and will be eligible to receive milestone payments totalling $311 million. It will also be eligible to receive tiered royalties on product sales. Novartis will be responsible for all clinical development, manufacturing and commercialization activities.
“AV-380 holds great promise as a potential treatment for cachexia secondary to multiple disease states, including cancer, chronic kidney disease, congestive heart failure and chronic obstructive pulmonary disease. Novartis brings resources and expertise to bear on advancing this program, which we believe provides the optimal path forward toward realizing its potential,” said Michael Bailey, Aveo’s president and CEO.
This latest agreement follows another made earlier in August with Russian pharmaceutical group Pharmstandard for the development, manufacturing and commercialization of Aveo’s tivozanib. An oral, vascular endothelial growth factor (VEGF) tyrosine kinase inhibitor, tivozanib has been evaluated in renal, colorectal and breast cancers.
The license applies to all territories of Russia, Ukraine and CIS countries and is for all indications excluding ocular conditions. Pharmstandard will pay Aveo an upfront payment of $1.5 million. Aveo is also eligible to receive up to $7.5 million relating to the first marketing authorization of tivozanib in Russia, $3 million for each additional approved indication thereafter, plus a high single-digit royalty on net sales in the aforementioned territories. A percentage of all payments received by Aveo are due to Japan’s Kyowa Hakko Kirin as a sublicensing fee.
Aveo said the agreement is an opportunity to monetize tivozanib in areas outside of its core strategic focus. “We will continue to explore additional strategies to unlock the value of this asset, and remain committed to our goal of leveraging biomarker data and external partnerships to advance our pipeline,” Bailey said.
