AstraZeneca acquires EsoBiotec for US $1B to advance in vivo cell therapy

U.K. – AstraZeneca (AZ) has agreed to acquire Belgian biotech company EsoBiotec in a deal worth up to US $1 billion.

The acquisition will strengthen AZ’s position in in vivo cell therapy, a field focused on reprogramming immune cells directly inside the body to fight diseases like cancer and autoimmune disorders.

AZ will pay US $425 million upfront when the deal closes, expected in the second quarter of this year, with an additional US $575 million tied to future development and regulatory milestones.

EsoBiotec has developed a lentiviral vector platform that delivers genetic instructions to immune cells, such as T cells, allowing them to target cancer cells or malfunctioning immune cells in autoimmune diseases.

Unlike traditional cell therapies, which involve removing and modifying a patient’s cells outside the body before reinfusing them, EsoBiotec’s ENaBL technology enables treatment through a simple intravenous injection.

This eliminates the need for bone marrow conditioning, a process that can cause serious side effects. The approach also makes treatment faster and more affordable.

Susan Galbraith, AZ’s head of oncology R&D, emphasized the potential of this technology: “It has the potential to transform cell therapy and will enable us to scale these innovative treatments so that many more patients around the world can access them.”

The acquisition signals AZ’s increasing focus on cell therapy, an area where it has lagged behind competitors like Novartis, Bristol Myers Squibb, and Gilead Sciences.

The company has been expanding in this field through acquisitions and partnerships. In 2023, AZ bought CAR-T therapy developer Gracell Biotechnologies for US $1.2 billion and signed a US $2 billion partnership with Quell Therapeutics to develop Treg therapies for autoimmune diseases.

Additional moves include collaborations with Cellectis for gene-editing technology, AbelZeta for CAR-T therapy, and the US $320 million acquisition of Neogene Therapeutics, a specialist in TCR therapies.

Galbraith highlighted the strategic importance of the latest acquisition: “This deal will accelerate and expand the impact of our recent investments and marks a major step forward in realizing our ambition to harness the full potential of cell therapy.”

Alteogen licensing deal

Shortly after the EsoBiotec agreement, AZ also signed licensing deals with South Korean company Alteogen for its hyaluronidase technology (ALT-B4).

This technology enables subcutaneous administration of large-molecule drugs, which are typically given intravenously, saving time for patients and healthcare providers.

AZ and its Medimmune subsidiary will pay Alteogen US $45 million upfront, with potential milestone payments of up to US $1.305 billion, plus royalties on future sales.

The deal follows a US $300 million agreement between Alteogen and AZ’s partner Daiichi Sankyo to develop a subcutaneous version of Enhertu (trastuzumab deruxtecan), a HER2-directed antibody-drug conjugate.