Xencor Outlicenses Autoimmune Disease Candidate To Zenas BioPharma

Zenas BioPharma has acquired from Xencor Inc XNCR exclusive worldwide rights to develop, manufacture, and commercialize obexelimab.
Obexelimab is a potential first-in-class bifunctional antibody that targets CD19 with its variable domain. It uses Xencor's XmAb Immune Inhibitor Fc Domain to target FcγRIIb, a receptor that inhibits the function of B-cells, which are essential components in the immune system.
Under the terms of the new agreement, Zenas will issue a warrant giving Xencor the right to acquire additional Zenas equity, such that Xencor's total equity in Zenas would be 15% after Zenas' next round of equity financing.
Xencor previously received equity in Zenas under a separate license agreement. Xencor is also eligible to receive up to $480 million milestone payments.
Related: Novartis Dumps Another Bispecific Candidate From Xencor Deal.
Price Action: XNCR shares closed lower by 0.30% at $36.86 on Friday.