(Yicai) June 26 -- Chinese drugmaker RemeGen has agreed to license Telitacicept, a treatment for autoimmune diseases, exclusively to Vor Bio outside of China in a deal potentially worth more than USD4.1 billion.

Under the deal, RemeGen will receive an upfront payment of USD45 million plus USD80 million of warrants, the Yantai-based company announced today. It will also get potential regulatory and commercial milestones exceeding USD4 billion, as well as tiered royalties.

US-based Vor Bio, which specializes in developing and commercializing novel antibody and fusion-protein therapies for severe autoimmune diseases, will obtain the exclusive rights to develop and commercialize the drug globally, ex-China.

Telitacicept is a novel dual-target fusion protein approved in China for treating generalized myasthenia gravis, systemic lupus erythematosus, and rheumatoid arthritis. Since launching in 2021, sales of the drug have grown rapidly, exceeding 1.5 million doses last year.

RemeGen said the deal will accelerate Telitacicept’s entry into international markets, enhance its global brand value, boost its cash flow, and diversify the firm’s research and development risks.

A global Phase III clinical trial for MG treatment is ongoing, and the therapy has received Fast Track Designation and Orphan Drug designations from US and European Union regulators.

RemeGen’s shares [SHA: 688331], which have doubled in value since the end of last year, tumbled 18.4 percent to close at CNY60.70 (USD8.47) each in Shanghai today. Its Hong Kong-listed stock [HKG: 9995] sank 12 percent to HKD59.20 (USD7.54), paring this year’s four-fold gain.

Editor: Martin Kadiev