In a deal worth up to $1.2 billion, AstraZeneca is set to acquire Chinese biopharmaceutical company Gracell Biotechnologies.
The proposed acquisition aims to further AstraZeneca’s cell therapy ambitions, along with chimeric antigen receptor (CAR-T) and T-cell receptor therapies (TCR-Ts) in solid tumors.
Through this agreement, AstraZeneca will have access to GC012F, an autologous CAR-T therapy that is now in the clinical stage and targets both cluster of differentiation 19 (CD19) and B-cell maturation antigen (BCMA). It is being studied as a treatment for multiple myeloma as well as other autoimmune disorders such systemic lupus erythematosus (SLE) and other hematological malignancies.
“AstraZeneca values the expertise and unique skillsets that Gracell has built. We intend to retain Gracell employees to continue to build this area within the company. The acquisition will also bring in new expertise and capabilities in autologous cell therapy, including the Gracell’s FasTCAR rapid manufacturing technology which significantly shortens manufacturing time,” a spokesperson for AstraZeneca told BioProcess Insider.
The Anglo-Swedish drugmaker aims to overcome the challenges of scalability in oncology through GC012F. As per the firm, this acquisition will accelerate the development of cell therapies to treat patients living with blood cancers using differentiated manufacturing process, as well as exploring the potential for cell therapy to reset the immune response in autoimmune diseases.
“Our CAR-Ts utilize [..] research to enable cell therapies to resist the immune-suppressive tumor microenvironment, thereby enhancing their potential effectiveness in solid tumors. We are also researching novel approaches for developing off-the-shelf ‘patient ready’ cell therapies to overcome challenges of scalability and accessibility,” said the spokesperson.
“Beyond this we are advancing a pipeline of T cell receptor therapies through our acquisition of Neogene Therapeutics in
2022, and recently entered into a strategic research and equity investment agreement with Cellectis to develop up to 10 novel cell and gene therapy candidates.”
As per the deal, AstraZeneca is to pay Gracell about $1 billion up front, which represents a 62% premium over Gracell’s closing market price on December 22, 2023. The total transaction value, including both the upfront and any contingent value payments is close to $1.2 billion.
The transaction is expected to close in the first quarter of 2024, subject to customary closing conditions and regulatory clearances, and Gracell shareholder approval.
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