AstraZenica, Inovia strike massive $700 million deal to destroy HPV cancer

AstraZenica, Inovia strike massive $700 million deal to destroy HPV cancer

The pharmaceutical giant will pay a huge sum of $727.5 million to Inovio for an experimental cancer vaccine.

Pharmaceutical giant AstraZeneca has reached a deal with Inovio Pharmaceuticals worth a stunning $727.5 million — all for an experimental vaccine that the medical community is hopeful could prevent human papillomavirus (HPV).

AstraZeneca will pay Inovio $27.5 million up front and another $700 million if its medicine reaches certain development and commercial milestones, according to a Bloomberg report.

The drugs are intended to be combined with immune oncology products that would help the immune system of the body fight off tumors.

It’s not the only move AstraZeneca has made recently, which last week announced it was partnering with Heptares Therapeutics and Mirati Therapeutics. The company hopes these “combination therapies” will help it fight off competitors like Merck & Co. and Bristol-Myers Squibb Co., which are all battling to develop the next generation of cancer treatments.

Inovio had thought about working with some of those other giants on immune therapies, but settled on AstraZeneca because the company “will do what it takes to leapfrog the other players,” Chief Executive Officer Joseph Kim said according to Bloomberg. AstraZeneca’s project is called MediImmune.

The vaccine that AstraZeneca is acquiring from Inovio is called INO-3112 and is currently in early to mid-stage clinical trials. It targets cervical, head, and neck cancers. Under the terms of the agreement, AstraZeneca will take on the development costs, and Inovio will get royalties on product sales.

The companies have an uphill battle, as cancer vaccines so far haven’t had a great record. However, AstraZeneca and Inovio are hoping that this newest drug may turn things around.

Inovio believes its drug is different because it takes advantage of DNA sequencing technology to activate T-cells that are responsible for going after tumors.

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