Health: AstraZeneca, Daiichi Sankyo partner with Summit to test cancer drug combination

Novartis entered a licensing agreement with Abogen for RNA-encoded therapeutic Abo2203, paying $575M upfront and up to $7.2B in milestones. AstraZeneca and Daiichi Sankyo partnered with Summit Therapeutics to test Datroway with ivonescimab in cancer trials. PwC predicts $300B in pharma M&A this year.

Sanofi & Regeneron expanded their immunology partnership for up to $8B. Novo Nordisk acquired rights to a drug from Hengrui Pharma for up to $2.6B. Telix Pharmaceuticals to acquire ITM Isotope for up to $2.35B. Merck licensed a cancer drug from SciBrunch for up to $2.13B. Genentech partnered with Earendil Labs for up to $1.5B. GSK acquired a hepatic program from Wave Life Sciences. Lundbeck may acquire Xeris Biopharma.

Summit Therapeutics (SMMT) announced a clinical collaboration with AstraZeneca (AZN) and Daiichi Sankyo to test its cancer therapy, Ivonescimab, in a Phase 3 trial for triple-negative breast cancer. The companies will share trial costs. Summit's shares rose 1.5% in pre-market trading. The FDA is set to decide on Ivonescimab for lung cancer on Nov. 14. Summit has $690.7 million in cash and raised $68 million this quarter. Barclays raised Summit's price target to $20.

Novartis agreed to pay up to $7.8 billion for global rights to a Chinese biotech's mRNA therapy, including $575 million upfront. The deal aims to offset patent expirations and clinical trial setbacks. Other Western drugmakers, like Novo and GSK, are also securing Chinese drug assets. China's regulatory reforms and innovation speed are driving these deals, with ING projecting $250 billion in Chinese biotech outlicensing by 2026.

Novartis agreed to a $7.8B deal with Abogen Biosciences for an experimental autoimmune disease treatment, highlighting Big Pharma's focus on Chinese biotechs amid a looming patent cliff. Novo and GSK also announced similar agreements with Chinese firms, reflecting the growing importance of China's biotech sector. AstraZeneca partnered with Summit Therapeutics to test oncology drugs, including a Chinese-developed asset.

Summit Therapeutics (SMMT) will test ivonescimab with Datroway in a Phase III breast cancer trial as part of a collaboration with AstraZeneca (AZN) and Daiichi Sankyo (4568). AstraZeneca invested $2B in Summit. Datroway is approved in 30+ countries for certain breast cancer patients. Summit shares closed at $16.69 on Oct. 1.