XOMA Royalty Expands with Mezagitamab Acquisition from BioInvent
Deal News | May 27, 2025 | Globenewswire
XOMA Royalty Corporation, a biotech royalty aggregator, has purchased the future mezagitamab royalty and milestone interests from BioInvent International AB. This transaction, valued at up to USD $30 million, includes an initial payment of USD $20 million, with an additional USD $10 million contingent upon regulatory milestones with the U.S. FDA for IgA nephropathy. XOMA's Chief Investment Officer, Brad Sitko, emphasized the enhancement of their late-stage royalty portfolio through this acquisition, which is part of a Phase 3 program already in progress. BioInvent will benefit from non-dilutive capital, allowing it to progress its clinical development pipeline. BioInvent's CEO, Martin Welschof, noted the strategic value and financial bolstering the transaction provides, crediting BioInvent's n-CoDeR platform for its strong pipeline. Takeda, the developer of mezagitamab, has initiated a Phase 3 trial for immune thrombocytopenia. XOMA, known for acquiring rights to potential future pharma economics, strengthens its portfolio with this deal, highlighting its strategy of royalty aggregation in the biotechnology sector.
Sectors
- Biotechnology
- Pharmaceuticals
Geography
- United States – Relevant as XOMA Royalty is based in Emeryville, California and the transaction involves potential regulatory milestones with the U.S. FDA.
- Sweden – BioInvent International is based in Lund, Sweden, marking its geographic involvement in the transaction.
Industry
- Biotechnology – This industry involves companies engaged in the development of drugs and therapies, often involving advanced technologies and scientific research such as XOMA and BioInvent.
- Pharmaceuticals – Relevant due to the development and commercialization of therapeutic compounds like mezagitamab which requires regulatory milestones and clinical trials as mentioned with Takeda's involvement.
Financials
- USD $20 million – Initial payment made by XOMA Royalty to BioInvent at closing.
- USD $10 million – Additional payment contingent on the achievement of regulatory milestones by mezagitamab.
- USD $30 million – Total potential value of the transaction between XOMA and BioInvent.
- USD $16.25 million – Potential milestone payments XOMA Royalty could earn from Takeda.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| XOMA Royalty Corporation | Bidding Company | Company | Biotech royalty aggregator acquiring rights for future therapeutic economics. |
| BioInvent International AB | Selling Company | Company | Biotech company focused on developing immune-modulatory antibodies for cancer therapy. |
| Takeda | Other Company | Company | Developing mezagitamab and conducting Phase 3 clinical trials. |
| Brad Sitko | Chief Investment Officer | Person | Representative from XOMA Royalty discussing the transaction's strategic importance. |
| Martin Welschof | Chief Executive Officer | Person | CEO of BioInvent, commenting on the transaction's impact. |