Alteogen has signed multiple contracts with global pharmaceutical companies for its subcutaneous (SC) formulation conversion technology, securing technology export agreements worth up to 6 trillion won this year alone. The ALT-B4 technology, which transforms biopharmaceuticals previously administered intravenously (IV) into a form that patients can self-administer via subcutaneous injection, has emerged as a key growth driver for Alteogen.
According to industry sources on September 3, Alteogen announced that it had entered into an option and licensing agreement with global pharmaceutical company Novartis for the development and commercialization of ALT-B4, based on the Hybrozyme technology. This agreement grants Novartis exclusive rights to develop and commercialize multiple biopharmaceuticals using ALT-B4 in subcutaneous form, with a contract value of up to $3.223 billion (approximately 4.4 trillion won).
This contract marks the fourth agreement related to ALT-B4 that Alteogen has signed this year. In January, Alteogen entered into a contract worth up to $285 million with GSK subsidiary Tesarro, followed by a contract worth up to $579 million with Biogen in March. Last month, Alteogen signed a contract with an undisclosed global pharmaceutical company for the development and commercialization rights of a single subcutaneous formulation, valued at up to $365 million.
Combining the maximum contract values of these four agreements, the total reaches approximately $4.452 billion (about 6.1 trillion won). However, this figure does not represent confirmed revenue or cash inflow for the year; it includes not only the contract amounts but also the maximum potential from option exercises and development, approval, and sales milestones.
ALT-B4 is a recombinant human hyaluronidase developed based on Alteogen's Hybrozyme platform, with the active ingredient known as berahyaluronidase alfa. Hyaluronidase temporarily breaks down hyaluronic acid, a key component of the extracellular matrix, facilitating wider distribution and absorption of drugs within subcutaneous tissue. This capability allows for the development of large-volume biopharmaceuticals into relatively quick and easy subcutaneous formulations, which previously required direct IV administration.
The growing interest from global pharmaceutical companies in ALT-B4 is attributed to its ability to generate revenue and royalties through actual commercialization. According to Merck (MSD), sales of the subcutaneous formulation of Keytruda, known as Keytruda Qurex, surged from $128 million (approximately 180 billion won) in the first quarter to $463 million (approximately 660 billion won) in the second quarter, marking a 262% increase in just one quarter.
The market is closely watching how quickly actual product development and commercialization will proceed. Ultimately, the approval status and sales volume of products utilizing ALT-B4, along with royalties per product, are expected to significantly impact Alteogen's performance and corporate value.
Choi Tae-yeon, CEO of Alteogen, stated, "This partnership once again demonstrates the technological prowess and business potential of the Hybrozyme platform."
According to industry sources on September 3, Alteogen announced that it had entered into an option and licensing agreement with global pharmaceutical company Novartis for the development and commercialization of ALT-B4, based on the Hybrozyme technology. This agreement grants Novartis exclusive rights to develop and commercialize multiple biopharmaceuticals using ALT-B4 in subcutaneous form, with a contract value of up to $3.223 billion (approximately 4.4 trillion won).
This contract marks the fourth agreement related to ALT-B4 that Alteogen has signed this year. In January, Alteogen entered into a contract worth up to $285 million with GSK subsidiary Tesarro, followed by a contract worth up to $579 million with Biogen in March. Last month, Alteogen signed a contract with an undisclosed global pharmaceutical company for the development and commercialization rights of a single subcutaneous formulation, valued at up to $365 million.
Combining the maximum contract values of these four agreements, the total reaches approximately $4.452 billion (about 6.1 trillion won). However, this figure does not represent confirmed revenue or cash inflow for the year; it includes not only the contract amounts but also the maximum potential from option exercises and development, approval, and sales milestones.
ALT-B4 is a recombinant human hyaluronidase developed based on Alteogen's Hybrozyme platform, with the active ingredient known as berahyaluronidase alfa. Hyaluronidase temporarily breaks down hyaluronic acid, a key component of the extracellular matrix, facilitating wider distribution and absorption of drugs within subcutaneous tissue. This capability allows for the development of large-volume biopharmaceuticals into relatively quick and easy subcutaneous formulations, which previously required direct IV administration.
The growing interest from global pharmaceutical companies in ALT-B4 is attributed to its ability to generate revenue and royalties through actual commercialization. According to Merck (MSD), sales of the subcutaneous formulation of Keytruda, known as Keytruda Qurex, surged from $128 million (approximately 180 billion won) in the first quarter to $463 million (approximately 660 billion won) in the second quarter, marking a 262% increase in just one quarter.
The market is closely watching how quickly actual product development and commercialization will proceed. Ultimately, the approval status and sales volume of products utilizing ALT-B4, along with royalties per product, are expected to significantly impact Alteogen's performance and corporate value.
Choi Tae-yeon, CEO of Alteogen, stated, "This partnership once again demonstrates the technological prowess and business potential of the Hybrozyme platform."
* This article has been translated by AI.
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