Bristol Myers Squibb Enters $11B Deal with BioNTech for PD-1/L1xVEGF-A Bispecific

Bristol Myers Squibb (BMS) has made a significant move in the immuno-oncology space, inking an $11 billion deal with German biotech firm BioNTech for rights to a promising PD-1/L1xVEGF-A bispecific antibody. The agreement, announced on June 2, 2025, positions BMS at the forefront of one of the hottest areas in cancer research.

Deal Structure and Financial Terms

Under the terms of the agreement, BMS will pay BioNTech $3.5 billion upfront, consisting of a $1.5 billion initial payment and $2 billion in non-contingent anniversary payments through 2028. The deal also includes up to $7.6 billion in potential development, regulatory, and commercial milestones.

In return, BMS gains a 50% stake in BNT327, BioNTech's lead PD-L1xVEGF-A bispecific candidate. The two companies will jointly develop and commercialize the drug, splitting costs and profits equally. Both firms retain the right to independently develop BNT327 for additional indications and combinations.

Clinical Development and Market Positioning

BioNTech's BNT327 is currently in phase 3 studies for both small cell and non-small cell lung cancer, with plans to initiate a pivotal trial in triple-negative breast cancer later this year. This positions BNT327 as one of the leading candidates in the PD-1/L1xVEGF-A bispecific field, second only to Summit Therapeutics' contender.

The collaboration with BMS is expected to accelerate the exploration and validation of BNT327's potential. Dr. Samit Hirawat, head of development at BMS, emphasized the importance of upcoming overall survival data and safety profiles in determining the drug's impact on the market.

Industry Context and Competition

This deal marks a significant escalation in the race to develop PD-1/L1xVEGF-A bispecifics, which have shown promise in potentially surpassing the efficacy of established checkpoint inhibitors like Merck's Keytruda. Recent data from Akeso and Summit Therapeutics demonstrated their bispecific candidate, ivonescimab, outperforming Keytruda in certain settings.

Other major players have also entered the field, with Merck investing $588 million and Pfizer committing $1.25 billion upfront for similar bispecific antibodies. BMS's deal with BioNTech represents the largest investment in this space to date, reflecting the potential of these novel therapeutics to disrupt the current immuno-oncology market.