Kite Pharma said pre-market Tuesday it formed a joint venture in China with Shanghai Fosun Pharmaceutical to develop and market T-cell therapies for the treatment of B-cell lymphomas and leukemias.
The joint venture, called Fosun Pharma Kite Biotechnology Group, will develop, manufacture and market Kite’s lead product candidate axicabtagene ciloleucel in China with an option to incude additional products, including two T-cell receptor product candidates from Kite.
Under the terms of the agreement, Fosun Pharma will provide $20 million in funding to support clinical development and manufacturing activities, while Kite will provide certain technical transfer services to the JV.
Kite Pharma will be entitled to receive 40% of any profits from the JV with Fosun Pharma entitled to the remaining 60%. Kite will also receive an upfront fee of $40 million from the JV.