Alteogen Inc (KOSDAQ:196170), a South Korea-based biopharmaceutical company, announced on Sunday that it has signed an exclusive license agreement with Daiichi Sankyo (TSE: 4568), a global pharmaceutical company based in Japan.

As per the terms of the contract, Daiichi Sankyo is acquiring global rights to use ALT-B4, Alteogen's novel hyaluronidase using Hybrozyme Technology, to develop and commercialise a subcutaneous version of ENHERTU (fam-trastuzumab deruxtecan-nxki), a HER2 directed antibody drug conjugate (ADC) that has been jointly developed and commercialised by both parties.

Alteogen is to receive an upfront payment and is eligable to receive milestone payments upon Daiichi Sankyo's achievement of specified development, regulatory and sales milestones. It will also be entitled to receive tiered royalties on the sales of the commercialised product. Alteogen is to manage clinical and commercial supply of ALT-B4 to Daiichi Sankyo.

Dr Soon Jae Park, Alteogen chief executive officer, said: "Our collaboration with Daiichi Sankyo is groundbreaking in the ADC field, being the first to use hyaluronidase for a subcutaneous ADC marks a significant milestone in the oncology field, and we look forward to our collaboration with Daiichi Sankyo in bringing this product to the market."