BioCentury
ARTICLE | Company News

argenx gets $500M up front from Janssen for CD70 mAb

December 7, 2018 6:08 PM UTC

argenx S.E. (Euronext:ARGX; NASDAQ:ARGX) will receive $500 million up front from Janssen Pharmaceuticals Inc. in exchange for exclusive, worldwide rights to anti-CD70 mAb cusatuzumab (ARGX-110).

The upfront payment comprises $300 million in cash from the Johnson & Johnson (NYSE:JNJ) unit, plus $200 million in equity through the sale of 1.8 million shares at €100.02 ($113.19) to Johnson & Johnson Innovation - JJDC Inc. for a 4.7% stake in argenx. The price is a 3% premium to argenx’s close of €96.77 on Nov. 30, before the deal was announced. The biotech is also eligible for up to $1.3 billion in developmental, regulatory and sales milestones plus tiered double-digit royalties in the low to high teens on ex-U.S. sales...