Pharmaceutical Technology

Daily Newsletter

10 November 2023

Daily Newsletter

AstraZeneca targets obesity market with Eccogene partnership

Eccogene will receive $185m upfront and up to $1.82bn in payments from AstraZeneca for the small molecule GLP-1 agonist.

AstraZeneca has fortified its participation in the GLP-1 agonist race with an exclusive licence agreement with clinical-stage biotech company Eccogene to develop and commercialise ECC5004, a small molecule GLP-1 agonist (GLP-1RA).

As part of the agreement, Eccogene will receive a $185m upfront payment, with potential future payments of up to $1.82bn based on clinical, regulatory, and commercial milestones, along with royalty payments.

Astrazeneca gains exclusive rights to develop and commercialise ECC5004 globally, excluding China, where Eccogene and Astrazeneca will collaborate for co-development and co-commercialisation.

In June of this year, Eccogene raised $25.23m (CNY180m) in a Series B financing round to support the development of its clinical-stage metabolic pipeline, including ECC5004.

ECC5004 is a once-daily, oral GLP-1RA which is currently in Phase I clinical trials for the treatment of obesity, type 2 diabetes (T2D), and other comorbidities. GLP-1 inhibitors are a class of drugs developed for weight management and the treatment of T2D. Eli Lilly and Novo Nordisk currently dominate the obesity drug market, with GLP-1 inhibitors Zepbound and Wegovy respectively.

Eli Lilly’s Zepbound (tirzepatide) gained approval from the US Food and Drug Administration (FDA) on 8 November for the treatment of obesity. According to GlobalData, Zepbound is forecast to generate $27bn in sales by 2029.

Wegovy gained FDA approval in June 2021. Novo Nordisk has made Dkr21.7bn ($3bn) so far this year from with Wegovy, as per the company’s 2023 quarterly results, and as per GlobalData, is estimated to generate $12bn in sales by 2029.

GlobalData is the parent company of Pharmaceutical Technology.

AstraZeneca bioPharmaceuticals R&D EVP Sharon Barr said: “Building on the promising Phase I clinical data generated by Eccogene, we believe this oral GLP-1RA molecule could offer alternatives to current injectable therapies both as a potential monotherapy as well as in combination for cardiometabolic diseases such as type 2 diabetes, as well as for obesity.”

Significant unmet need in the Diabetic nephropathy (DN) market for products that can treat DN effectively without side effects

With only a few approved drugs currently available to treat DN by means other than regulation of blood pressure, innovator products that can treat by targeting other factors such as treatment of dyslipidemia, hypertension, or angiotensin inhibition, among others, is a key area of R&D in the DN space and is likely to pave the way for novel therapies in the near future. However, the treatment landscape is expected to remain unchanged due to limited availability of products in the late-stage pipeline currently.