Zydus to acquire US biotech firm Agenus in Emeryville and Berkeley

• Zydus acquires two biologics facilities in California for up to $125 million.
• Becomes exclusive manufacturer for Agenus’ late-stage immuno-oncology therapies BOT and BAL.
• Secures rights to commercialize BOT and BAL in India and Sri Lanka.

Zydus Lifesciences is entering the global biologics contract development and manufacturing (CDMO) arena with its acquisition of two biologics facilities from Agenus at Emeryville and Berkeley in California.

The agreement is valued at USD75 million upfront and has a potential USD50 million deal contingent on meeting certain revenue milestones within the next three years, which assumes an owner-occupier facility in Emeryville, and an emissions sector manufacturing site in Berkeley. Agenus is a clinical-stage immuno-oncology company developing immune therapies for cancer.

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This acquisition provides Zydus with biologics manufacturing capability in California, a key area of the global biotech landscape and famous for its innovation, while enabling partnering opportunities with other innovative global companies. The two facilities Zydus acquired will operate under an independent CDMO business arm. As part of this acquisition, Zydus will be the exclusive contract manufacturer for Agenus' two Phase-3 ready cancer immunotherapies, botensilimab (BOT) and balstilimab (BAL). Zydus will also have first rights to negotiate for future product manufacturing.

Zydus will commercialize BOT and BAL in India and Sri Lanka, and perform all the clinical development, regulatory steps, etc.; and will pay a 5% royalty on net sales once the product is approved for sale in those countries.