AstraZeneca to buy biotech Neogene for up to $320m

AstraZeneca said on Tuesday that it has agreed to buy biotechnology group Neogene for up to $320m, as it looks to accelerate its ambition in oncology cell therapy.

Neogene is a clinical-stage company pioneering the discovery, development and manufacturing of next-generation T-cell receptor therapies (TCR-Ts) that offer a novel cell therapy approach for targeting cancer.

The purchase prices includes an initial payment of $200m upon closing, and a further up to $120m in both contingent milestones-based and non-contingent consideration.

The deal is expected to close in the first quarter of next year and Neogene will operate as a wholly-owned subsidiary of AstraZeneca, with operations in Amsterdam and California.

Susan Galbraith, executive vice president of Oncology R&D at AstraZeneca, said: "This acquisition represents a unique opportunity to bring innovative science and leading experts in T-cell receptor biology and cell therapy manufacturing together with our internal oncology cell therapy team, unlocking new ways to target cancer.

"Neogene's leading TCR discovery capabilities and extensive manufacturing experience complement the cell therapy capability we have built over the last three years and allow us to accelerate the development of potentially curative cell therapies for the benefit of patients."