Xencor [NASDAQ: XNCR] Announces Zenas Buys Exclusive Worldwide Rights to Obexelimab

Xencor, Inc. [NASDAQ: XNCR] disclosed that Zenas BioPharma has purchased exclusive worldwide rights to develop, produce and commercialize the investigational antibody Obexelimab. Zenas BioPharma has gained recognition as a global biopharmaceutical company based in the USA and China dedicated to the development and delivery of immune-based therapies.

Zenas is striving to expand a pipeline of distinguished drug candidates that are produced to bring sophisticated treatment to patients with underserved medical needs. The company is delighted to add Obexelimab to its portfolio. Zenas believed that based on its clinical profile, it is positioned as the best candidate with the ability to treat several autoimmune diseases.

Transaction Overview

As per the agreement between the companies, Zenas will grant a warrant to Xencor. The warrant will provide Xencor the right to buy additional Zenas equity, such that Xencor’s total equity in Zenas would be 15% of its fully diluted capitalization after the execution of Zenas’ next round of equity financing.

Furthermore, Xencor has earlier obtained equity in Zenas under a separate license pact. Xencor is also entitled to get up to $480 million based on the accomplishment of certain clinical development, regulatory, and marketing achievements. It is also entitled to get a tiered, mid-single-digit to mid-teen percent royalties upon the marketing of Obexelimab.

In addition, Zenas will be solely responsible for promoting the research, development, regulatory and commercial activities of Obexelimab all over the world. XNCR believed that Zenas BioPharma is a partner dedicated to broadly and aggressively developing therapeutics like Obexelimab for sufferers with autoimmune diseases. It enables Xencor’s remain focused on the increasing opportunities offered by its XmAb bispecific antibody and cytokine pipeline

About Obexelimab

Obexelimab is a potential top bifunctional antibody that targets CD19 with its mutable domain. It takes advantage of Xencor’s XmAb Immune Inhibitor Fc Domain to target FcγRIIb. FcγRIIb is a receptor that prevents the function of B-cells, which are crucial components in the immune system.