26 January 2023 - - US-based Summit Therapeutics Inc. (NASDAQ: SMMT) hsa completed the closing of our previously announced definitive agreement with Akeso Inc. (HKEX Code: 9926.HK) to in-license its breakthrough bispecific antibody, ivonescimab, the company said.

Ivonescimab, known as AK112 in China and Australia, and as SMT112 in the United States, Canada, Europe, and Japan, is a novel, potential first-in-class bispecific antibody combining the effects of immunotherapy via a blockade of PD-1 with the anti-angiogenesis effects associated with blocking VEGF into a single molecule.

Summit is initiating development activities for SMT112 and will do so first in non-small cell lung cancer (NSCLC) indications.

The definitive partnership calls for Summit to receive the rights to develop and commercialize ivonescimab (SMT112) in the United States, Canada, Europe, and Japan. Akeso will retain development and commercialization rights for the rest of the world, including China.

In exchange for these rights, Summit committed to an upfront payment of USD 500m to be paid in two installments.

The first installment worth USD 300m has been paid in conjunction with the closing of the transaction.

Of the USD 300m paid to Akeso by Summit, Akeso opted, in accordance with the definitive agreement, to convert approximately USD 25.1m of the payment into 10m shares of Summit common stock; the remaining USD 274.9m was paid by Summit to Akeso in cash.

The second installment of USD 200m will become due on March 5, 2023 and will be paid by Summit in cash.

Going forward, Akeso will be eligible to receive regulatory and commercial milestones of up to an additional USD 4.5bn.

In addition, Akeso will receive low double-digit royalties on net sales in the Summit territories.

In conjunction with the closing of the deal, Dr. Michelle Xia, Co-Founder, chairwoman, and CEO of Akeso, has been appointed to the board of directors of Summit.

Summit was founded in 2003 and our shares are listed on the NASDAQ Global Market (symbol 'SMMT').

The company is headquartered in Menlo Park, California, and we have additional offices in Oxford, UK and Cambridge, UK.

Akeso (HKEX: 09926) is a commercial-stage biopharmaceutical company committed to the discovery, development, manufacturing and commercialization of innovative medicines with high unmet medical needs worldwide.

Founded in 2012, the company has established a comprehensive in-house drug development platform (ACE Platform) and know-how, including R&D, clinical development, CMC (Chemistry, Manufacturing, and Controls), and commercialization capabilities.

With fully integrated multi-functional platform, Akeso is internally working on a robust pipeline of over 30 innovative assets in the fields of cancer, autoimmune disease, inflammation, metabolic disease, and other major therapeutic areas. 17 assets have entered into clinical stage.