AstraZeneca has struck a major licensing deal with China’s Dizal Pharmaceutical, agreeing to pay $600 million upfront to secure global rights to a promising lung cancer medication, according to a filing Dizal submitted to the Shanghai stock exchange on Tuesday.
The drug at the center of the agreement, Sunvozertinib — also marketed under the name Zegfrovy — has already received approval in both the United States and China. It is used to treat adults with locally advanced or metastatic non-small cell lung cancer, the most prevalent form of the disease. According to the American Cancer Society, roughly 77% of all lung cancer cases fall into this category.
Clinical trial data from a late-stage multinational study involving 324 patients showed encouraging results. Patients taking Sunvozertinib experienced a median progression-free survival of 10.3 months, compared to just 7.5 months for patients who received chemotherapy.
Beyond the initial $600 million payment, Dizal stands to receive up to an additional $900 million depending on how the drug performs in clinical development and on the market. In total, the deal could be worth as much as $1.5 billion. As part of the agreement, AstraZeneca will take over global development and commercialization of the drug.
Dave Fredrickson, Executive Vice President of the Oncology Haematology Business Unit at AstraZeneca, commented on the significance of the deal. “With this agreement, we will bring a differentiated, oral targeted treatment to these patients with limited options across the globe,” he said in a statement.
