Kyorin Pharmaceutical Secures $105M Deal for Hinge Bio's Lupus Drug in Japan

Kyorin Pharmaceutical has made a significant move to bolster its autoimmune disease portfolio by acquiring the Japanese rights to Hinge Bio's preclinical lupus drug, HB2198. The deal, valued at up to $105 million, marks a strategic expansion for Kyorin in the rapidly evolving field of autoimmune therapeutics.

Deal Structure and Financial Terms

The agreement between Kyorin and California-based Hinge Bio involves an upfront payment of $10 million, with the potential for an additional $95 million in milestone payments tied to the development of HB2198 as a treatment for systemic lupus erythematosus. Kyorin has also expressed interest in exploring HB2198's potential in other autoimmune conditions, which could trigger further payments.

As part of the deal, Kyorin will shoulder the costs for development, regulatory processes, marketing, and commercialization activities within Japan. Additionally, the Japanese pharmaceutical company has committed to contributing to the global development efforts for HB2198.

HB2198: A Novel Approach to B-Cell Depletion

HB2198 represents a cutting-edge approach to treating lupus and potentially other autoimmune disorders. The drug targets both CD19 and CD20 for B-cell depletion, utilizing Hinge Bio's proprietary GEM-DIMER multivalent antibody platform. Preclinical data unveiled last year suggested that HB2198 could achieve "deeper and more rapid B cell depletion than has been reported for other antibody-based therapies."

The goal of this therapeutic approach is to "reset" the immune system while offering the benefits of an off-the-shelf antibody-based treatment, including convenience, accessibility, and potentially improved safety profiles. Hinge Bio is planning to initiate clinical trials for HB2198 this year, marking a crucial step in its development journey.

Strategic Implications for Kyorin Pharmaceutical

This latest acquisition aligns with Kyorin's focus on autoimmune disorders as a key strategic therapeutic area. CEO Yutaka Ogihara emphasized the company's commitment to this field, stating, "We anticipate that this innovative treatment candidate, developed through our collaboration with Hinge Bio, will offer a new therapeutic option for patients suffering from autoimmune disorders."

The deal with Hinge Bio is part of a broader pattern of strategic moves by Kyorin to strengthen its pipeline. The company's portfolio now includes a phase 3-stage pulmonary sarcoidosis drug licensed from aTyr Pharma and a phase 1-stage beta 3 adrenergic receptor agonist for overactive bladder from Merck & Co. In late 2024, Kyorin also acquired worldwide rights to Bayer's ADRA2C antagonist for sleep apnea in a €15 million deal.

Kyorin's proactive approach to in-licensing and collaboration has not gone unnoticed by larger pharmaceutical players. In March, Novartis licensed Kyorin's MRGPRX2 antagonist for allergic and inflammatory diseases in a deal worth $55 million upfront, further validating the Japanese company's research capabilities and strategic positioning in the autoimmune and inflammatory disease space.