LG

■ Out-license to Innovent Biologics rights to develop and commercialize the novel treatment for chronic gout ‘Tigulixostat’ in China; A total potential deal value of up to 95.5 million USD including 10 million USD upfront payment
 
■ Increase opportunity for commercialization in the Chinese market and prepared a basis to concentrate on clinical trials in the US and other countries
 
 
LG Chem collaborated with ‘Innovent Biologics,’ a representative biopharmaceutical company in China, to further enhance the business value of the global novel gout treatment project.
 
On the 15th, LG Chem announced that it entered a strategic collaboration and license agreement to out-license the exclusive rights for the development and commercialization of the proprietarily developed novel gout treatment ‘Tigulixostat’ in China to Innovent Biologics (hereinafter referred to as Innovent) based in China.
 
LG Chem will receive 10 million USD as a non-refundable upfront payment and will receive up to 85.5 million USD according to development and commercial milestone payments in China. The total potential deal value is up to 95.5 million USD, and tiered royalties will be received separately depending on annual net sales.
 
Through collaborating with a Chinese partner company, LG Chem will increase the opportunity for commercialization in the Chinese market while concentrating more on the US and European regions.
 
Innovent is a representative biopharmaceutical company in China with a market capitalization (listed in the Stock Exchange of Hong Kong in 2018) of 8 trillion KRW. In 2018, just seven years after the founding of the company, it successfully acquired marketing approval for immuno-oncology medicine (product name Tyvyt) in China. In the following year, this new drug was registered in the Chinese National Reimbursement Drug List (NRDL) for the first time among immuno-oncology medicine, thus growing at a rapid pace. Based on its massive organization of about 1,500 researchers and 3,000 sales and marketing personnel, Innovent successfully commercialized eight products in China and is making visible achievements.
 
‘Tigulixostat’ is a drug that inhibits ‘XO (Xanthine Oxidase),’ which is an enzyme that generates uric acid, and LG Chem is conducting clinical phase 3 (trial name: EURELIA-1,2) trials on 3,000 patients in the US, Europe and other countries.
 
LG Chem Life Sciences Company President Jeewoong Son stated, “Based on the experiences and expertise of our two companies, we will do our best in commercializing the global novel gout treatment” while adding, “We will continuously expand competitive new drug pipelines through aggressive investments, and become a global innovative pharmaceutical company by creating visible achievements”
 
Innovent President Yong Jun Liu commented, “We will work closely with LG Chem to facilitate the development of Tigulixostat, and we hope to bring the novel product to the market as quickly as possible”
 
Meanwhile, according to market survey firm (IQVIA MIDAS) data, the urate lowering therapy market was worth 275 million USD in 2020, and it is expected that the market will continue to grow with the launch of new drugs such as ‘Tigulixostat’ and increased number of gout patients.
 
[Note: Clinical phase 2 results]
LG Chem conducted trial by dividing into a total of four groups for Tigulixostat administered at 50mg, 100mg, and 200mg doses, and a placebo group, as well as the exploratory active control group of Febuxostat.
 
For the achievement rate of 5mg/dL or lower serum-uric acid at three months after administration of the drug, which is the primary endpoint, it was found to be 62% for the Tigulixostat 200mg, 3% for the placebo group, and 23% for the Febuxostat group, thus confirming its statistically significant difference with the placebo and Febuxostat groups.