Novartis signs US$3.22B Alteogen agreement for subcutaneous drug development
The partnership expands the use of ALT B4, a proprietary recombinant human hyaluronidase developed through Alteogen’s Hybrozyme platform.
DENMARK—Novartis has signed an agreement with South Korean biotechnology company Alteogen that could be worth up to US$3.22 billion for the development and commercialisation of subcutaneous formulations of several medicines.
Under the agreement, Novartis will have multiple options to obtain exclusive global rights to develop and commercialise subcutaneous versions of selected products using Alteogen’s ALT B4 technology.
The deal includes option exercise fees, development and commercial milestones, as well as royalties on net sales of products that use the technology.
Alteogen said the agreement could generate up to US$3.22 billion if Novartis exercises all available options and the programmes achieve the specified development and commercial milestones.
The partnership expands the use of ALT B4, a proprietary recombinant human hyaluronidase developed through Alteogen’s Hybrozyme platform.
The technology is designed to help convert biologic medicines that are traditionally administered through intravenous infusion into formulations that can be delivered by subcutaneous injection.
Technology aims to simplify drug administration
ALT B4 works by temporarily breaking down hyaluronan, a component of the extracellular matrix beneath the skin.
This creates space in the tissue, allowing co-administered medicines to spread and be absorbed more efficiently following subcutaneous injection.
The technology can potentially reduce the need for intravenous administration, which often requires healthcare professionals and infusion facilities.
Subcutaneous formulations may allow some medicines to be administered more conveniently, including in outpatient or home care settings, depending on the individual product and its approved use.
Alteogen Chief Executive Officer Tae Yon Chun said Novartis had evaluated the application of ALT B4 across multiple drug modalities as part of its efforts to develop subcutaneous formulations.
“Novartis is a world-leading pharmaceutical company at the forefront of the global healthcare industry,” Chun said.
“This agreement demonstrates the technological strength and commercial value of Alteogen’s Hybrozyme platform.”
Fourth Hybrozyme agreement in 2024
The Novartis licence was the fourth agreement Alteogen signed in 2024 involving its Hybrozyme platform.
The company has been developing the technology to support the conversion of intravenous medicines into subcutaneous formulations.
Alteogen develops biologic medicines and biotechnology platforms, with its portfolio spanning antibody drug conjugates, biosimilars and proprietary enzymes.
Its Hybrozyme platform is one of the technologies underpinning its efforts to develop alternative administration routes for biologic therapies.
Meanwhile, Novartis has continued to expand its use of emerging technologies across drug discovery and development.
In July, the pharmaceutical company entered into a collaboration with Chai Discovery to explore the use of artificial intelligence in identifying therapeutic antibodies.
The collaboration with Alteogen adds another technology focused on changing how complex medicines can be formulated and administered, with the companies now set to progress the selected programmes under the terms of their agreement.
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