Top biopharma deal upfront February 2022

February 2022 Top Biopharma Deal: Heidelberg – Huadong ATAC Candidates for Cancer Treatment

Mar 2, 2022 | Deal of the Month, Partnership Deals

February 2022 Top Biopharma Deal Upfront

Heidelberg development and commercialization deal with Huadong for HDP-101, HDP-103, and options for two more ATAC candidates for cancer Asia ex-Japan

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Highlighted Deal Financial Comps

Date Announced:

February 27, 2022

Total Deal Value:

$1,048M

Upfront Cash:

$20M

Upfront Equity:

$118M

Option Payments:

$461M

Total Milestones:

up to $449M (dev., reg., and sales)

Royalties:

Tiered single to low double-digits

Cost & Profit Split:

n/a

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Deal Synopsis

The Asset:

Heidelberg’s ATAC project candidates HDP-101 and HDP-103 for cancer treatment with options for 2 additional candidates HDP-102 and HDP-104

Deal Structure:

Development and Commercial License

Partnership Features:

License hand-off for Asia ex-Japan; Options to add compounds

Deal Details:

Heidelberg granted Huadong exclusive rights to develop and commercialize HDP-101 and HDP-103 in Asia excluding Japan for the treatment of cancer. Additionally, Huadong will have an exclusive option for HDP-102 (CD37-ATAC) and HDP-104 in Asia.
Heidelberg will receive $20M up front and is eligible for up to $449M in milestones for HDP-101 and HDP-103. Heidelberg is eligible for $461M if Huadong exercises its option. Heidelberg is eligible for tiered single to low double-digit royalties.
Huadong will invest EUR 105M in Heidelberg representing 35% of shares, with an initial commitment of EUR 80M by purchasing 12,408,649 shares at EUR 6.44 per share.
Heidelberg will approve the equity investment by July 2022 and will close the transaction on August 27 2022 and can expand the completion date until October 27, 2022 by issuing EUR 10M in the form of 12 months loan.

Last Month:

Congrats to Heidelberg and Huadong for landing DealForma’s February 2022 Top Biopharma Deal. Last month’s Deal of the Month was Beam – Pfizer In Vivo Base Editing and Delivery Programs for Rare Diseases. Read about it here.

DealForma’s Deal of the Month selection is based on the largest disclosed upfront cash and equity total in partnership deals involving R&D as announced in the month prior to this article. Data for this analysis was compiled using the DealForma biopharma deals database. All data are based on publicly disclosed figures and deal terms.

We invite you to answer interesting questions on biopharma business development and licensing using our data and carefully curated profiles on deals, pipelines, companies, funding, and business executives by visiting dealforma.com to schedule your personalized demo.

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