Biohaven Partners With Ono Pharmaceutical in 100 Million Dollar Asian Licensing Deal
Biohaven Ltd. (NYSE:BHVN) has entered into a licensing and collaboration agreement with ONO Pharmaceutical Co., Ltd. (TSE:4528) to develop and commercialize its extracellular protein degrader portfolio in select Asian markets. Under the deal, ONO Pharmaceutical Co., Ltd. obtains exclusive rights to Biohaven's lead therapeutic candidate, BHV-1300, along with next-generation assets BHV-1310 and BHV-1320, in Japan, South Korea, Taiwan, and ASEAN member countries.
The partnership provides Biohaven with up to $100 million in near-term funding, including an upfront payment of $80 million and a potential $20 million milestone payment within the first year. Biohaven is also eligible to receive royalties of approximately 20% on net sales within the region. The lead asset, BHV-1300, is a small-molecule IgG degrader currently undergoing Phase 3 clinical trials for Graves' disease and has potential applications for other autoimmune disorders. This marks the first regional collaboration for Biohaven’s proprietary platform technology, which originated from research at Yale University.
Investors will watch the clinical progress of BHV-1300 in Phase 3 trials and the closing of the transaction. Additionally, Biohaven is awaiting pivotal data later this year for opakalim, an experimental epilepsy treatment under a separate global licensing agreement. Shares of Biohaven Ltd. fell 2.57% to $11.57 on Thursday following the announcement, while ONO Pharmaceutical Co., Ltd. shares slipped 0.47% to 2,247 JPY.
Key points
- Biohaven Ltd. partnered with ONO Pharmaceutical Co., Ltd. to develop and commercialize its pan IgG degrader portfolio in select Asian territories.
- Ono obtains exclusive rights to BHV-1300, BHV-1310, and BHV-1320 in Japan, South Korea, Taiwan, and ASEAN countries.
- Biohaven will receive an $80 million upfront payment and is eligible for a $20 million milestone payment within one year.
- Biohaven will earn royalties of approximately 20% on regional net sales of the licensed products.
- Lead candidate BHV-1300 is currently in Phase 3 clinical development for the treatment of Graves' disease.
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How we writeDisclaimerQuestions and answers
What are the financial terms of the Biohaven and Ono Pharmaceutical agreement?
Biohaven receives an $80 million upfront payment and can earn a $20 million milestone payment within a year, plus royalties of approximately 20% on net sales in the licensed Asian territories.
Which territories are covered under the Biohaven-Ono licensing deal?
The exclusive licensing agreement covers Japan, South Korea, Taiwan, and all member countries of the Association of Southeast Asian Nations (ASEAN).
What is BHV-1300 and what is it used to treat?
BHV-1300 is an investigational small-molecule IgG degrader currently in Phase 3 clinical development for Graves' disease, with potential to treat other IgG-mediated autoimmune conditions.