[Market Feature] Alteogen Surges Over 10% on News of License Agreement with Biogen

Alteogen is surging on news that it has signed a license agreement with Biogen.

As of 9:18 a.m. on March 26, Alteogen was trading at 396,000 won, up 10.46% from the previous trading day.

On the previous day, Alteogen announced that it had signed an exclusive license agreement with global pharmaceutical company Biogen for the development and commercialization of subcutaneous (SC) formulation biopharmaceuticals based on ALT-B4, utilizing its Hybrozyme technology.

Under this agreement, Biogen has secured exclusive rights to develop and commercialize SC formulations of two biopharmaceutical products using Alteogen’s ALT-B4 technology.

Alteogen explained that following the contract, it will receive an upfront payment of 20 million dollars (approximately 30 billion won), and an additional upfront payment of 10 million dollars (approximately 15 billion won) upon the initiation of development for the second product. Including milestones, the total contract value is about 867.5 billion won.

Kim Seona, a researcher at Hana Securities, stated in a report released today, "With this contract, Alteogen will receive about 59.5 billion won in upfront payments as of the end of the first quarter," and added, "Although there may be some disappointment regarding royalties, the company is keeping its promise to consistently secure contracts with new clients."

Researcher Kim assessed that the likely targets of this contract are Dapirolizumab pegol and Felzartamab. She explained, "Both drugs are progressing smoothly in phase 3 clinical trials, and development is underway to convert the intravenous (IV) formulations to subcutaneous injections. Since Biogen has mentioned both as core pipelines, the likelihood of this contract is high."

This content was produced with the assistance of AI translation services.