LigaChem Bio Invests in Partner Iksuda Therapeutics for Management Participation

• Acquires 26.6% stake through $25 million investment, securing majority shareholder status by obtaining rights to existing investors’ shares

• Aims to maximize LigaChem Bio’s value by accelerating the development and commercialization of Iksuda’s ADC pipeline

• Plans to expand clinical trials for HER2-ADC to include patients resistant to competing therapies

LigaChem Biosciences (KOSDAQ: 141080KS, hereinafter “LigaChem Bio”) announced a $25 million strategic investment in its partner, IKSUDA Therapeutics (hereinafter “IKSUDA”), with the purpose of participating in its management.
This funding will accelerate the clinical development of IKSUDA’s Antibody-Drug Conjugate (ADC) pipeline, bringing forward the timeline for global commercialization. In particular, IKSUDA plans to expand its global clinical trials for its Caxmotabart Entudotin(HER2-ADC) by focusing on patients who have developed resistance to currently marketed competing ADC drugs, thereby accelerating its sub-license to third parties and increasing its overall value.
Alongside the equity investment, LigaChem Bio has secured rights to purchase shares from existing major investors in IKSUDA, thereby gaining majority ownership and substantial control over IKSUDA’s pipeline. Of the $25 million investment, the first tranche of $15 million was completed in Q4 of last year, and an additional $10 million is scheduled for mid-2025. Upon completion, LigaChem Bio will hold a 26.6% stake in IKSUDA.
Through an investor agreement with IKSUDA’s existing major shareholders, LigaChem Bio has obtained rights and obligations to purchase their shares at the original investment price within three years. If fully exercised, this would enable LigaChem Bio to acquire up to 73.9% ownership of IKSUDA. As a result, LigaChem Bio will effectively lead the management and pipeline development of IKSUDA going forward.
IKSUDA currently possesses several promising oncology pipelines through multiple substance and platform technology transfers from LigaChem Bio. These include Caxmotabart Entudotin(HER2-ADC), LCB73 (CD19-ADC), and, through platform licensing, IKS04 (CA242-ADC) and IKS012 (FRα-ADC), targeting both solid and hematologic tumors. Notably, Caxmotabart Entudotin (HER2-ADC) has demonstrated superior efficacy and safety compared to competing drugs like Enhertu and Kadcyla in Phase 1/2 trials involving breast and gastric cancer patients, as per clinical trial results conducted by its Chinese licensing partner, Fosun Pharma. IKSUDA, which holds global rights to the HER2-ADC (excluding China), is currently running a global Phase 1 trial. The Phase 1a dose escalation is ongoing, with results anticipated later this year, after which Phase 1b will be initiated.
LCB73 (CD19-ADC) is undergoing global Phase 1 trials in the U.S. and Europe, while IKS04 (CA242-ADC) and IKS012 (FRα-ADC) are slated to enter global clinical development between 2025 and 2026.
IKSUDA is actively pursuing out-licensing and IPO opportunities for several programs, including Caxmotabart Entudotin (HER2-ADC) and LCB73 (CD19-ADC), developed through LigaChem Bio’s technology transfer. In particular, through this equity investment, LigaChem Bio secures commercialization rights for IKS04 (CA242-ADC), a promising First-in-Class drug candidate, and enhances its revenue-sharing ratio for certain pipelines. It also anticipates a valuation boost upon IKSUDA’s IPO through its shareholding.
LigaChem Bio CEO Yong-Zu Kim stated, “Through this investment, we will leverage IKSUDA’s strong clinical development capabilities in the ADC space to accelerate the clinical development and commercialization of our joint pipelines, creating a positive synergy for both companies.” He added, “To achieve our Vision 2030 ahead of schedule, we will continue to strengthen open innovation initiatives to secure future growth drivers.”
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