FDA Approves Servier’s Brain Cancer Drug, Triggering $1 Billion Payout for Agios

FDA Approval::
The FDA has approved Servier's new drug, Voranigo, for the treatment of a rare form of brain cancer characterized by IDH1 and IDH2 mutations.

Drug Mechanism::
Voranigo works by inhibiting the activity of mutant enzymes IDH1 and IDH2, which drive the disease.

Blood-Brain Barrier::
The drug can penetrate the blood-brain barrier, making it effective for brain cancer treatment.

Payout to Agios::
The approval triggers a $200 million payment to Agios Pharmaceuticals from Servier. Additionally, Agios will receive $905 million from Royalty Pharma for selling its royalty rights on Voranigo.

Development History::
The drug was originally developed by Agios Pharmaceuticals, which sold its cancer drug business to Servier in 2021.

Market Impact::
This approval sets up a significant financial gain for Agios, totaling approximately $1 billion.