Araris Biotech AG Announces Research Collaboration and Option to License Agreement with Chugai Pharmaceutical Co.

Araris will use proprietary AraLinQ™ linker-conjugation platform to generate novel ADCs using antibodies against targets provided by Chugai

Araris to receive an upfront fee and milestone payments potentially totalling USD 780 million plus royalties on net product sales

London, United Kingdom, 8 January 2025 – 4BIO Capital (“4BIO” or “the Group”), an international venture capital firm unlocking the treatments of the future by investing in advanced therapies and other emerging technologies, today announces that its portfolio company, Araris Biotech AG (Araris), a Swiss oncology biotech company developing next-generation antibody drug conjugates (ADCs), has entered a Research Collaboration and Option to License Agreement (RCO) under which Araris will use its proprietary linker-conjugation platform, AraLinQ™, to generate novel ADCs using antibodies against undisclosed targets provided by Chugai Pharmaceutical Co., Ltd. (Chugai).

Under the terms of the RCO Agreement, Chugai will pay an upfront fee, fund all research activities and after exercising the option be solely responsible for the development, manufacturing and global commercialization activities. Upon achievement of certain development, regulatory and commercial milestones by Chugai after exercising the option, Araris will be eligible for potential milestone payments of approximately USD 780 million, plus royalties on net sales of products.

Dmitry (Dima) Kuzmin, Managing Partner at 4BIO Capital of 4BIO Capital, commented, “This significant collaboration with Chugai Pharmaceutial further validates Araris's pioneering ADC-linker technology. Their innovative approach addresses key limitations in current ADC development and offers a novel way to create more effective cancer treatments through multi-payload ADCs capable of overcoming drug resistance, positioning Araris to advance its mission of developing more effective and safer treatments for cancer patients.”

Dr Dragan Grabulovski, Chief Executive Officer and co-founder of Araris added, "We are excited to enter a collaboration with Chugai Pharmaceutical and look forward to working closely with the Chugai team and apply our ADC technology to develop next-generation ADCs with improved efficacy and tolerability."

Dr Philipp Spycher, Chief Scientific Officer and co-founder of Araris, said, “This second collaboration with a large pharmaceutical company is a testimony of the attractiveness of our highly differentiated ADC platform and its potential to generate innovative ADCs with excellent pharmacokinetic properties and wide therapeutic index, incorporating dual- or triple-warheads into one step on native antibodies, without any requirement of prior antibody engineering.”