BioAtla and Context Therapeutics Announce Global License for BA3362, a Nectin-4 x CD3 T Cell Antibody

BioAtla, Inc. and Context Therapeutics Inc. have announced an exclusive licensing agreement for the development and commercialization of BA3362, a Nectin-4 x CD3 T cell engager (TCE) bispecific antibody. BioAtla will receive a $15 million upfront and near-term milestone payment, with potential additional payments totaling up to $118.5 million based on clinical, regulatory, and commercial milestones. Furthermore, BioAtla is eligible for tiered royalties on net sales of the product.

BA3362 is based on BioAtla’s Conditionally Active Biologic (CAB) platform technology, which aims to provide selective targeting and activation within the tumor microenvironment. This technology is designed to enhance the efficacy and reduce the toxicity of treatments compared to traditional antibodies. Nectin-4, the target of BA3362, is a cell adhesion protein often overexpressed in various cancers and is currently targeted using antibody-drug conjugates (ADCs) that can have side effects such as neuropathy and rash.

Jay M. Short, Ph.D., Chairman, CEO, and co-founder of BioAtla, expressed confidence in handing over BA3362's development to Context, allowing BioAtla to focus on its primary clinical CAB programs. He sees this transaction as the first of multiple collaborations expected to enhance shareholder value through non-dilutive means.

Martin Lehr, CEO of Context, highlighted the strategic importance of acquiring BA3362, citing Nectin-4's high prevalence in solid tumors and the need to address resistance to Nectin-4 ADCs. Lehr emphasized that BA3362, derived from BioAtla's CAB platform, holds the potential to be a leading asset in their TCE pipeline.

The agreement stipulates BioAtla will receive up to $133.5 million, which includes the upfront $15 million and milestone payments, plus royalties on net sales. Legal and financial advisory services for the transaction were provided by Tungsten Advisors, Orrick, Herrington & Sutcliffe LLP, Piper Sandler, and Goodwin Procter LLP.

BioAtla is focused on leveraging its CAB technology to create novel monoclonal and bispecific antibodies. This technology aims to achieve more selective targeting, higher efficacy, and lower toxicity compared to traditional antibody treatments. Currently, BioAtla has two CAB programs in Phase 2 clinical trials: mecbotamab vedotin (an AXL-targeted ADC) and ozuriftamab vedotin (a ROR2-targeted ADC). Additionally, BioAtla is developing a Phase 2 CTLA-4 inhibitor, evalstotug, and a Phase 1 dual CAB bispecific T-cell engager, BA3182, which targets EpCAM and engages CD3-expressing T cells. BioAtla also holds an FDA-cleared IND for BA3361, a next-generation CAB-Nectin4-ADC.

Context Therapeutics is advancing a portfolio of TCE bispecific antibodies aimed at treating solid tumors. Their pipeline includes CTIM-76, a Claudin 6 x CD3 bispecific antibody, CT-95, a Mesothelin x CD3 bispecific antibody, and CT-202, formerly known as BA3362. Context is headquartered in Philadelphia and continues to build its innovative therapeutic portfolio to address unmet needs in cancer treatment.

This collaboration between BioAtla and Context underscores a strategic alignment aimed at leveraging each company's strengths to advance the development of novel cancer therapies, potentially offering new treatment options for patients with solid tumors.