AbbVie, Futuregen ink IBD licensing agreement

June 13, 2024

AbbVie and Beijing-based FutureGen Biopharmaceutical have entered a global license agreement to develop FG-M701, a TL1A antibody, for treating inflammatory bowel disease (IBD).

Under the agreement, AbbVie will handle the development, manufacturing, and commercialization of FG-M701. FutureGen will receive $150 million upfront and potential milestone payments totaling $1.56 billion, along with royalties on net sales.

FG-M701, currently in preclinical development, targets TL1A and aims to improve efficacy and reduce dosing frequency compared to existing treatments. The partnership looks to advance FG-M701 through clinical trials and towards regulatory approval, ultimately bringing a new treatment option to market.

Last month, AbbVie partnered up with Gilgamesh Pharmaceuticals in an option-to-license agreement to develop next-gen therapies for psychiatric disorders, handing Gilgamesh $65 million upfront, with the potential for up to $1.95 billion in milestones. This comes amid a significant spending spree for AbbVie, with the drugmaker announcing two mega-deals —  $10.1 billion to acquire ADC specialist ImmunoGen followed by $8.7 billion to pick up Cerevel Therapeutics — late last year.