Bristol Myers Squibb Commits Up to $11B in Landmark Deal with BioNTech for Solid Tumor Bispecific Antibody

In a significant move that underscores the growing interest in bispecific antibodies for cancer treatment, Bristol Myers Squibb (BMS) has announced a partnership with BioNTech to develop and commercialize BNT327, a promising bispecific antibody targeting solid tumors. The deal, valued at up to $11.1 billion, marks a major investment in the burgeoning field of dual-targeting immunotherapies.

Deal Structure and Financial Terms

BMS will pay BioNTech $1.5 billion upfront, with an additional $2 billion in non-contingent payments through 2028. The agreement also includes potential milestone payments of up to $7.6 billion. Both companies will equally share development and manufacturing costs, as well as profits or losses from the commercialization of BNT327.

Christopher Boerner, CEO of Bristol Myers Squibb, expressed enthusiasm for the partnership, stating, "We look forward to partnering to accelerate existing clinical trials and time to market, while expanding the number of potential indications."

BNT327: A Promising Bispecific Antibody

BNT327 is designed to target two key proteins in cancer biology: PD-L1, a checkpoint protein, and VEGF-A, a regulator of blood vessel formation. This dual-targeting approach aims to enhance the body's immune response against tumors while simultaneously inhibiting their blood supply.

The antibody is currently in Phase III trials for small cell and non-small cell lung cancer, with a third late-stage trial in triple-negative breast cancer planned to start by the end of the year. Earlier Phase II data in small cell lung cancer showed promising results, with a median overall survival of 16.8 months.

Ugur Sahin, CEO and co-founder of BioNTech, highlighted the potential of BNT327, saying, "We believe BNT327 has the potential to become a foundational immuno-oncology backbone, moving beyond single-mechanism checkpoint inhibitors and expanding into multiple solid-tumor indications."

Competitive Landscape and Industry Trends

The BMS-BioNTech deal reflects a broader industry trend towards bispecific antibodies targeting PD-1/PD-L1 and VEGF. Several major pharmaceutical companies have made similar moves in recent months:

• Merck paid $588 million for a LaNova Medicines asset in this class
• Pfizer invested $1.25 billion in a similar drug candidate from 3SBio
• Summit Therapeutics' ivonescimab has already gained approval in China and recently released promising global Phase III data

Notably, many of these bispecific antibodies, including BNT327, have originated from Chinese biotechnology companies, highlighting China's growing influence in this field.

The race to develop these next-generation immunotherapies is driven by the potential to improve upon existing checkpoint inhibitors like BMS's Opdivo. As BMO Capital Markets analysts noted, "Bristol gets access to BNTX's next gen molecule with the potential to replace Opdivo (it's still early however), and BioNTech gets access to Bristol's global distribution footprint and a well of experience planning and running the development program for Opdivo."