Astellas Expands Gene Therapy Portfolio with $2.2 Billion Deal for AviadoBio’s Frontotemporal Dementia Treatment

Deal Overview:
Astellas Pharma Inc. has entered into an exclusive option and license agreement with AviadoBio Ltd. for AVB-101, a gene therapy targeting frontotemporal dementia with progranulin mutations (FTD-GRN).

Financial Terms:
The deal includes a $20 million equity investment and up to $30 million in upfront payments. AviadoBio is eligible to receive up to $2.18 billion in license fees and milestone payments, plus royalties if Astellas exercises its option.

AVB-101 Details:
AVB-101 is an adeno-associated viral (AAV) vector gene therapy designed to restore progranulin levels in the brain. It is currently in Phase 1/2 development for FTD-GRN.

Disease Background:
Frontotemporal dementia (FTD) is a severe form of early-onset dementia characterized by rapid decline in executive function, uncharacteristic behaviors, and loss of language. It typically leads to death within three to 13 years from diagnosis.

Collaboration Impact:
The partnership aims to combine AviadoBio's gene therapy expertise with Astellas' global capabilities in development and commercialization to accelerate the delivery of AVB-101 to patients with FTD-GRN and other neurological diseases.