Shanghai’s Cellular Biomedicine Group (CBMG) has entered into a strategic licensing and collaboration agreement with Novartis to manufacture and supply the CAR-T cell therapy Kymriah in China.
Upon the closing of the agreement, CBMG will receive $40 million in an equity purchase from Novartis at $27.43/share for approximately 9% equity.
Novartis will receive certain royalty-free intellectual property worldwide rights to certain CBMG CAR-T related technology.
“This collaboration with Novartis reflects our shared commitment to bringing the first marketed CAR-T cell therapy Kymriah, a transformative treatment option currently approved in the United States, European Union and Canada for two difficult-to-treat cancers, to China where the number of patients in need remains the highest in the world,” said Tony Liu, CBMG CEO.
“Together with Novartis, we hope to bring the first CAR-T cell therapy to patients in China. In addition, we continue to focus on developing CBMG’s pipeline of immuno-oncology assets.”