Alebund Pharmaceuticals, a China-based, renal-focused biopharmaceutical company, announced on Tuesday that it has signed licensing and equity agreements with R1 Therapeutics Inc, a newly launched clinical-stage biotechnology company.

R1 is backed by major global kidney care providers DaVita (NYSE:DVA), one of the largest kidney care providers globally, and U.S. Renal Care, the largest privately held dialysis provider in the United States, and a syndicate of leading global venture capital investors.

Under the agreements, Alebund has granted R1 an exclusive licence to develop, manufacture, and commercialise AP306 outside Greater China (the 'R1 Territory'). AP306 is a first-in-class pan-phosphate transporter inhibitor currently in development for the treatment of hyperphosphatemia in patients with chronic kidney disease (CKD) receiving dialysis.

The financial terms include development, regulatory and commercial milestone payments of up to low triple-digit millions of U.S. dollars, and Alebund will share in the economics of AP306's success in the R1 Territory through tiered royalty payments in the low double-digit percentage range on net sales. In addition, Alebund holds a substantial non-dilutive equity interest in R1, with the opportunity to participate in future commercial upside through dividends. R1 will fund and lead the global clinical development of AP306, with Alebund as a collaborative development partner, including a global Phase 2b multi-regional clinical trial in the United States and China planned to initiate later this year.

Alebund and R1 aim to work together to accelerate the global development of AP306.