Otsuka’s Taiho pays $400M for Swiss partner to ‘turbocharge’ 3 ADCs to clinic
Otsuka's Taiho Pharmaceutical has agreed to acquire Swiss biotech company Araris Biotech for $400 million upfront, with the potential for an additional $740 million in milestone payments135.
Key facts about the deal:
- Acquisition:
Taiho is buying Araris Biotech and its antibody-drug conjugate (ADC) technology platform15
- Deal value:
$400 million upfront, plus up to $740 million in potential milestone payments13
- Closing:
Expected in the first half of 202535
- Technology:
Araris' AraLinQ ADC linker platform, which aims to create more stable and potent ADCs15
- Pipeline:
Three preclinical ADC candidates for hematological and solid tumors, expected to enter clinical trials in 2025-202615
- Previous partnership:
Taiho and Araris have been collaborating since November 202313
- Strategic rationale:
Expands Taiho's oncology portfolio and drug discovery capabilities15
Araris Biotech background:
- Founded in 2019 as a spin-off from Switzerland's Paul-Scherrer-Institute13
- Focused on developing next-generation ADCs with improved linker technology3
- Previously raised $40 million in funding from investors3
This acquisition reflects the growing interest in ADC technology among major pharmaceutical companies, with several billion-dollar deals in the space in recent years15. The deal will allow Taiho to accelerate the clinical development of Araris' ADC candidates while expanding its oncology pipeline.
Sources:
1. https://www.fiercebiotech.com/biotech/otsukas-taiho-pays-400m-buy-swiss-adc-partner
3. https://www.investorsinhealthcare.com/articles/category/news/switzerland-taiho-pharma-paying-up-to-us740m-for-adc-developer-araris-biotech/
5. https://www.biopharmadive.com/news/taiho-araris-acquire-antibody-drug-conjugate-adc-linker/742666/