Gritstone bio and Genevant Sciences Announce Option and License Agreement

Rhea-AI Summary

Gritstone bio and Genevant Sciences have announced an agreement for Gritstone to have a non-exclusive license under Genevant's LNP technology to develop and commercialize self-amplifying RNA vaccines. The agreement follows successful prior collaborations between the two companies and aims to capitalize on the emergence of RNA vaccines in addressing infectious diseases. Genevant is eligible to receive option maintenance and exercise fees, milestone payments up to $136 million per product, and royalties on future product sales.

Positive

• Gritstone bio and Genevant Sciences have expanded their relationship with a new agreement.
• The agreement allows Gritstone to have a non-exclusive license under Genevant's LNP technology.
• The goal is to develop and commercialize self-amplifying RNA vaccines for infectious diseases.
• Genevant may receive option maintenance and exercise fees, milestone payments, and royalties.
• The milestone payments can reach up to $136 million per product.
• Royalties will range from the mid to high single digits on future product sales.

Negative

• None.

Agreement provides nonexclusive access to Genevant’s leading LNP technology for use with Gritstone bio’s self-amplifying RNA technology in wide array of infectious disease vaccines

Multi-year, multi-pathogen, option-based deal follows multiple successful prior collaborations between Gritstone and Genevant 

EMERYVILLE, Calif., VANCOUVER, British Columbia, and BASEL, Switzerland, Aug. 15, 2023 (GLOBE NEWSWIRE) -- Gritstone bio, Inc. (Nasdaq: GRTS), a clinical-stage biotechnology company that aims to develop the world’s most potent vaccines, and Genevant Sciences, a leading nucleic acid delivery company with world-class platforms and a robust and expansive lipid nanoparticle (LNP) patent portfolio, today announced an agreement pursuant to which Gritstone bio, Inc. will have a multi-year option for a non-exclusive license under Genevant’s LNP technology on a pathogen-by-pathogen basis to develop and commercialize self-amplifying RNA (samRNA) vaccines.

“Our previous collaborations with Genevant have demonstrated the powerful potential of combining the strengths of two technology leaders, and we are pleased to expand our relationship with this new agreement,” said Andrew Allen, M.D., Ph.D., Co-founder, President and Chief Executive Officer of Gritstone bio. “With the established complementarity between our samRNA technology and Genevant’s LNP technology, evident in clinical datasets in both oncology and infectious disease, we are now even better positioned to capitalize on the emergence of RNA vaccines and therapeutics to address a broader array of infectious diseases.”

“The key role that LNP technology has played and can continue to play in the emergence of important medical advances has been a focus of Genevant scientists for over two decades,” said Pete Lutwyche, Ph.D., President and Chief Executive Officer, Genevant Sciences Corporation. “As leaders in the field, we are thrilled to build upon our relationship with Gritstone to pursue new and better approaches to combat infectious disease.”

Under the terms of the agreement, Genevant is eligible to receive from Gritstone option maintenance and exercise fees in the single digit millions, up to $136 million in contingent milestone payments per product, subject to increase for multi-pathogen products and in other specified circumstances, and royalties ranging from the mid to high single digits on future product sales. If Gritstone outlicenses an applicable infectious disease program, in lieu of certain of these payments, Genevant may be entitled to a percentage of amounts that Gritstone receives from its sublicensee.

About Gritstone bio
Gritstone bio, Inc. (Nasdaq: GRTS) is a clinical-stage biotechnology company that aims to develop the world’s most potent vaccines. We leverage our innovative vectors and payloads to train multiple arms of the immune system to attack critical disease targets. Independently and with our collaborators, we are advancing a portfolio of product candidates to treat and prevent viral diseases and solid tumors in pursuit of improving patient outcomes and eliminating disease. www.gritstonebio.com.

About Genevant Sciences
Genevant Sciences is a leading nucleic acid delivery company with world-class platforms, a robust and expansive lipid nanoparticle (LNP) patent portfolio, and decades of experience and expertise in nucleic acid drug delivery and development. The Company’s scientists have pioneered LNP delivery of nucleic acids for over 20 years, and the Company’s LNP platform, which has been studied across more than a dozen discrete product candidates and is the delivery technology behind the first and only approved systemic RNA-LNP product (patisiran), enables a wide array of RNA-based applications, including vaccines, therapeutic protein production, and gene editing. For more information, please visit www.genevant.com.

Gritstone Forward-Looking Statements
This press release contains forward-looking statements, including, but not limited to, statements related to our clinical and regulatory development plans for our product candidates; our expectations regarding the data to be derived in our ongoing and planned clinical trials; the timing of commencement of our future nonclinical studies, clinical trials and research and development programs; our ability to discover, develop and advance product candidates into, and successfully complete, clinical trials; and our plans and strategy regarding maintaining existing and entering into new collaborations and/or partnerships. Such forward-looking statements involve substantial risks and uncertainties that could cause Gritstone’s research and clinical development programs, future results, performance or achievements to differ significantly from those expressed or implied by the forward-looking statements. Such risks and uncertainties include, among others, the uncertainties inherent in the drug development process, including Gritstone’s programs’ clinical stage of development, the process of designing and conducting preclinical and clinical trials, the regulatory approval processes, the timing of regulatory filings, the challenges associated with manufacturing drug products, Gritstone’s ability to successfully establish, protect and defend its intellectual property and other matters that could affect the sufficiency of existing cash to fund operations. Gritstone undertakes no obligation to update or revise any forward-looking statements. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of the company in general, see Gritstone’s most recent Annual Report on Form 10-K filed on March 9, 2023 and any subsequent current and periodic reports filed with the Securities and Exchange Commission.

Gritstone Contacts
Investors:
George E. MacDougall
Gritstone bio, Inc.
ir@gritstone.com

Media:
Dan Budwick
1AB
(973) 271-6085
dan@1abmedia.com

FAQ

What is the agreement between Gritstone bio and Genevant Sciences?

The agreement allows Gritstone to have a non-exclusive license under Genevant's LNP technology to develop and commercialize self-amplifying RNA vaccines.

What is the goal of the agreement?

The goal is to capitalize on the emergence of RNA vaccines and address a broader array of infectious diseases.

What payments and royalties are Genevant eligible to receive?

Genevant may receive option maintenance and exercise fees, milestone payments up to $136 million per product, and royalties ranging from the mid to high single digits on future product sales.

What happens if Gritstone outlicenses an applicable infectious disease program?

In that case, Genevant may be entitled to a percentage of the amounts that Gritstone receives from its sublicensee, in lieu of certain payments.