AstraZeneca has completed a $2 billion strategic equity investment in Summit Therapeutics, providing additional capital to accelerate development of ivonescimab across multiple solid tumor indications.
Under the securities purchase agreement, AstraZeneca acquired approximately 108,955 shares of Summit preferred stock.
Each preferred share is convertible into 1,000 shares of Summit common stock.
Based on that conversion ratio, AstraZeneca’s investment represents a common stock purchase price of $18.36 per share, which Summit said represented a premium to its closing share price when the investment was announced.
The financing is intended to accelerate development of ivonescimab, an investigational PD-1/VEGF bispecific antibody.
Summit has rights to ivonescimab across North America, South America, Europe, the Middle East, Africa and Japan, where the drug is known as SMT112.
Outside Summit’s licensed territories, the therapy is known as AK112.
Ivonescimab was engineered by Akeso and combines PD-1 blockade with anti-angiogenic activity from VEGF inhibition in a single molecule.
Summit said the treatment’s design uses cooperative binding and a tetravalent structure intended to increase activity in the tumor microenvironment.
More than 5,000 patients have been treated with ivonescimab in clinical studies globally, while more than 100,000 have received the therapy when commercial use in China is included, according to figures attributed to Akeso.
There are 16 announced, ongoing or completed Phase 3 studies involving ivonescimab.
Five are Summit-sponsored global studies, one is a multiregional study sponsored by a cooperative group and 10 have been or are being conducted by Akeso in China.
Summit began global development in non-small cell lung cancer and has subsequently expanded into colorectal cancer and urothelial carcinoma.
The additional AstraZeneca funding will also support development of ivonescimab in combinations with antibody-drug conjugates, including sonesitatug vedotin and Datroway.
BakerHostetler is serving as Summit’s legal adviser.
KEY QUOTES:
“This investment reflects AstraZeneca’s confidence in Summit and in ivonescimab’s potential to redefine cancer treatment. We share a resolute vision for what may be possible for patients, and this strategic relationship strengthens our ability to pursue that vision with urgency, purpose, and an unwavering commitment to meaningfully improving outcomes.”
Robert W. Duggan, Chairman and Co-Chief Executive Officer of Summit Therapeutics
