What You Should Know:
- AstraZeneca has entered into a definitive agreement to acquire Fusion Pharmaceuticals Inc., a clinical-stage biopharmaceutical company developing next-generation radioconjugates (RCs).
- The acquisition marks a major step forward in AstraZeneca delivering on its ambition to transform cancer treatment and outcomes for patients by replacing traditional regimens like chemotherapy and radiotherapy with more targeted treatments.
AstraZeneca’s Acquisition of Fusion: Advancing Precision Cancer Treatment with Radioconjugates
Over recent years, Radioconjugates (RCs) have emerged as a promising approach in cancer treatment. These medications employ precise targeting mechanisms, such as antibodies, peptides, or small molecules, to deliver a radioactive isotope directly to cancer cells. This method offers several potential benefits over traditional radiotherapy, including reduced damage to healthy cells and the ability to reach tumors that are inaccessible through external beam radiation.
AstraZeneca’s acquisition of Fusion, including its leading RCs pipeline, notably the advanced program FPI-2265 for metastatic castration-resistant prostate cancer (mCRPC), enhances the company’s oncology portfolio. FPI-2265 targets prostate-specific membrane antigen (PSMA), which is highly expressed in mCRPC, and is currently undergoing Phase II trials.
This acquisition brings AstraZeneca new expertise and advanced capabilities in actinium-based RCs, strengthening its presence and commitment to Canada. Under the agreement, AstraZeneca will purchase all outstanding shares of Fusion at $21.00 per share in cash at closing, with an additional non-transferable contingent value right of $3.00 per share upon the achievement of a specified regulatory milestone. The transaction represents a significant premium to Fusion’s market price.
The transaction is expected to close in the second quarter of 2024, subject to customary closing conditions, including the approval of Fusion shareholders and regulatory clearances.
Susan Galbraith, Executive Vice President, Oncology R&D, AstraZeneca, said: “Between thirty and fifty per cent of patients with cancer today receive radiotherapy at some point during treatment, and the acquisition of Fusion furthers our ambition to transform this aspect of care with next-generation radioconjugates. Together with Fusion, we have an opportunity to accelerate the development of FPI-2265 as a potential new treatment for prostate cancer, and to harness their innovative actinium-based platform to develop radioconjugates as foundational regimens.”
RCs utilize precise targeting methods to deliver radiation directly to cancer cells, aiming to improve efficacy while minimizing toxicity to healthy cells. Administered systemically, RCs offer the potential to treat tumor types inaccessible to traditional radiation therapy and target cancer cells spread throughout the body.