XOMA Corporation (NASDAQ:XOMA) (“XOMA” or the “Company”) today announced it has earned a $2 million milestone payment from Takeda Pharmaceutical Company Limited as the first patient has been dosed in its Phase 2 study to evaluate safety, tolerability, and efficacy of mezagitamab (TAK-079) in participants with generalized myasthenia gravis (MG). In 2006, XOMA and Takeda entered into a collaboration agreement to identify potential therapeutic antibodies that Takeda would advance into clinical development. Mezagitamab is an anti-CD38 antibody that resulted from the companies’ collaboration.
“Takeda has multiple early stage mezagitamab studies ongoing in several indications. Myasthenia gravis is a chronic autoimmune neuromuscular disorder that causes patients to experience muscle weakness that may significantly impact their quality of life. We applaud Takeda for advancing mezagitamab development in generalized MG,” stated Jim Neal, Chief Executive Officer at XOMA. “With only one therapy approved in the U.S., MG clearly is a condition with unmet medical need.
“In the last month, we have earned $28.5 million in combined value from four partners, Takeda, Novartis, Merck, and one undisclosed company, as each achieved the first-patient-dosed milestone in their respective Phase 2 clinical trials. In addition, we expanded and diversified our portfolio with the acquisition of milestone interest and royalty rights associated with four lysosomal storage disorder enzymes. XOMA’s royalty aggregator model is beginning to bear fruit, and our team is excited as we share in our partners’ successes,” Mr. Neal concluded.
XOMA may receive up to $16 million in additional milestones from Takeda. Upon receipt of regulatory approval to commercialize mezagitamab, XOMA will receive a four percent royalty on any net product sales.