Qurient (115180.KQ) could begin third-party licensing of its CDK7 inhibitor platform as early as this year through its partnership with Lonza, the world's largest contract development and manufacturing organization, according to an analyst report.
In a report titled "Qurient: Overcoming ADC Resistance, Revenue-Sharing License-Out With Lonza," Shinhan Securities said on the 14th that Lonza chose Qurient's Q901 over rival CDK7 inhibitors from Carrick Therapeutics, whose largest shareholder is Pfizer, and Recursion, and signed an exclusive agreement to use it in a dual-payload antibody-drug conjugate platform. "We judge that third-party licensing could begin as early as this year," the brokerage said.
Qurient said the previous day that it had signed a co-commercialization agreement with Lonza to pursue global commercialization of the dual-payload ADC platform. A dual-payload ADC carries two different cytotoxic payloads on a single antibody, attacking cancer cells through multiple mechanisms at once. The approach aims to overcome tumor heterogeneity and drug resistance to payloads, and to extend the duration of response by reducing the emergence of resistance. Under the agreement, Lonza will introduce SYN-duo CC, a dual-payload platform incorporating Qurient's highly selective CDK7 inhibitor.
Shinhan Securities described the agreement as validation by Lonza of Q901's value in overcoming ADC resistance. Lonza's ADC platform has previously been licensed to major pharmaceutical companies including Johnson & Johnson, Amgen, Boehringer Ingelheim and Bristol Myers Squibb. In June, IBI343, a CLDN18.2-targeting ADC developed by Innovent and Takeda, succeeded in a Phase 3 trial, cementing the platform's status as validated and close to commercialization. Lonza signed five additional agreements in June alone, immediately after that trial success, bringing its ADC platform deals this year to seven.
The brokerage expects Lonza's third-party licensing to begin as early as this year. If a deal is completed, Qurient will receive upfront payments, milestones and royalties according to the agreed split, with the proceeds divided between the two companies at a ratio they have agreed. "Because overcoming ADC resistance is the core of the platform, we estimate the revenue split between Lonza and Qurient at 50-50 to 60-40, a structure that is not unfavorable to Qurient," analyst Eom said. "The company's platform should also lead to multiple deals."
"The sector as a whole is in a downturn, but we ultimately expect a strong rebound in companies that have delivered results," Eom said. "This deal adds licensing of Q901 in combination with ADCs and could accelerate the pace, so investors should pay attention to the upside in Q901's value."
