Novartis and AstraZeneca each moved to secure deals this week, striking separate agreements to expand their reach into autoimmune disease and oncology combination therapy.

The deals continue what’s been a noteworthy year for pharma M&A agreements, as Glenn Hunzinger, U.S. health industries leader at PwC, told Pharmaceutical Executive, “I think there's probably going to be close to 300 billion dollars of investment in M&A this year. Q1 was very strong. We saw that continuation in Q2, so certainly the run rate gets it closer to $300 billion, which would be the second-highest year in the past 10."

Abogen licenses lead RNA asset Abo2203 to Novartis

Abogen Biosciences has entered into a licensing and option agreement with Novartis to advance RNA-encoded therapeutics.

Under the terms of the proposed agreement, Abogen is set to receive an upfront payment of $575 million and is eligible to receive up to approximately $7.2 billion in potential milestone payments, subject to the achievement of agreed development, regulatory and commercial milestones, if all options on all programs are exercised.¹ Abogen also has the potential to be eligible to receive royalties on future product sales.¹

The transaction is subject to customary closing conditions, including required regulatory clearances.

The agreement grants Novartis an exclusive worldwide license to Abogen's lead asset, Abo2203, along with options to exclusively license other potential programs built on Abogen's proprietary RNA platform. Abo2203 is a novel mRNA-encoded CD19xCD3 T-cell engager designed to transform the treatment landscape for patients with autoimmune diseases.¹ The program is designed to reset B cells by using mRNA to direct the endogenous production of T-cell engagers in vivo, an approach that offers a highly differentiated mechanism for B-cell depletion and could provide distinct advantages over traditional recombinant T-cell engagers.¹ Novartis will also hold the exclusive option to license a number of next-generation therapeutic assets developed on Abogen's RNA platform.¹

"This agreement marks an important milestone for Abogen, underscoring the broad potential of our RNA platform to expand beyond prophylactic vaccines," said Bo Ying, chief executive officer of Abogen. "Abo2203 is the first mRNA-encoded T-cell engager to enter clinical evaluation for autoimmune diseases, reflecting our commitment to delivering differentiated, accessible and scalable therapies for patients with B-cell-mediated disorders. We are thrilled to be able to accelerate Abo2203 and unlock new therapeutic targets through this agreement with Novartis."

AstraZeneca and Daiichi Sankyo partner with Summit Therapeutics

In other deal making news, AstraZeneca and Daiichi Sankyo have entered into a clinical collaboration agreement with Summit Therapeutics Inc. to evaluate Datroway (datopotamab deruxtecan) in combination with ivonescimab across multiple tumour types, including lung and breast cancers.

The companies intend to begin with a Phase III trial in first-line triple-negative breast cancer. Under the terms of the agreement, each company will contribute its respective medicine for the planned combination trials, which will be sponsored by AstraZeneca or Daiichi Sankyo, and all three companies will contribute to trial costs while retaining development and commercial rights to their own medicines.²

Datroway is a specifically engineered TROP2-directed DXd antibody drug conjugate discovered by Daiichi Sankyo and jointly developed and commercialized by AstraZeneca and Daiichi Sankyo.² Ivonescimab is a novel, potential first-in-class bispecific antibody combining the effects of immunotherapy via a blockade of PD-1 with the anti-angiogenesis effects associated with blocking VEGF into a single molecule.

John Tsai, global head, R&D, Daiichi Sankyo, said: "At Daiichi Sankyo, we are focused on maximising the potential of our DXd antibody drug conjugate portfolio through innovative combinations and strategic collaborations that support the continued advancement of our pipeline. We are encouraged by the opportunity to explore ivonescimab in combination with Datroway to potentially deliver clinically meaningful benefit to patients."

AstraZeneca also recently announced an equity investment that will help support clinical collaborations evaluating combinations with ivonescimab, including this agreement for Datroway, AstraZeneca's separate agreement with Summit for combinations with sonesitatug vedotin, and planned future clinical collaborations intended to evaluate combinations with other AstraZeneca cancer medicines, including additional antibody drug conjugates.

Sources

1. Abogen Announces Licensing and Option Agreement with Novartis to Advance mRNA-Encoded T-Cell Engager and other potential RNA programs Abogen October 2, 2026, https://www.prnewswire.com/news-releases/abogen-announces-licensing-and-option-agreement-with-novartis-to-advance-mrna-encoded-t-cell-engager-and-other-potential-rna-programs-302896950.html
2. AstraZeneca and Daiichi Sankyo announce clinical collaboration with Summit Therapeutics to evaluate Datroway in combination with ivonescimab across multiple tumour types AstraZeneca October 2, 2026, https://www.astrazeneca.com/media-centre/press-releases/2026/az-ds-collaboration-with-summit-for-datroway.html