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Xencor Enters Global Collaboration and License Agreement With Janssen to Advance Plamotamab and XmAb CD28 Bispecific Antibody Combinations for the Treatment of Patients With B - Cell Malignancies October 4 , 2021 -- Second agreement with Janssen on bispecific antibodies directed toward the CD28 co - stimulatory receptor on T cells -- -- Xencor to receive $ 100 million upfront payment and $ 25 million equity investment and is eligible for a mid - teen to low - twenties percent royalty for plamotamab and potential milestone payments up to $ 1.188 billion -- -- Xencor management to host conference call today at 8:00 a.m. ET ( 5:00 a.m. PT ) -- MONROVIA , Calif .-- ( BUSINESS WIRE ) -- Oct . 4 , 2021-- Xencor , Inc. ( NASDAQ : XNCR ) , a clinical - stage biopharmaceutical company developing engineered monoclonal antibodies and cytokines for the treatment of cancer and autoimmune diseases , today announced an exclusive collaboration and worldwide license agreement with Janssen Biotech , Inc. , one of the Janssen Pharmaceutical Companies of Johnson & Johnson , to develop and commercialize plamotamab and novel XmAbⓇ B - cell targeting bispecific antibodies that are designed to conditionally activate T cells through the CD28 co - stimulatory receptor . Plamotamab is a CD20 x CD3 XmAb bispecific antibody and is currently completing a Phase 1 dose - escalation study in patients with CD20 - expressing hematologic malignancies . " The treatment landscape in B - cell lymphoma will potentially be redefined by CD20 x CD3 bispecific antibodies , such as plamotamab , and the best outcomes for patients will require creative combination approaches using complementary mechanisms of action . We are delighted to collaborate with Janssen's leading scientists to expand the scope of the plamotamab program , particularly as we explore opportunities to combine with novel B - cell targeted CD28 bispecific antibodies that can potentially selectively enhance T - cell cytotoxic activity , " said Bassil Dahiyat , Ph.D. , president and chief executive officer at Xencor . " This collaboration complements our plans to initiate combination clinical trials of plamotamab with tafasitamab and lenalidomide , and it expands our strategy to develop multiple highly active chemotherapy - free regimens for B - cell cancers . " Under the terms of the agreement , Janssen will receive worldwide exclusive development and commercialization rights to plamotamab , whether as a monotherapy or in combination regimens . Xencor will collaborate with Janssen on further clinical development of plamotamab with Janssen paying 80 % and Xencor paying 20 % of costs , including those for a subcutaneous formulation anticipated to enter clinical trials in 2022. In parallel , Xencor will continue , at its own expense , a previously announced clinical collaboration to evaluate the combination of plamotamab , tafasitamab and lenalidomide in patients with B - cell lymphoma , including a Phase 2 trial in relapsed or refractory diffuse large B - cell lymphoma anticipated to start in late 2021 or early 2022 . Further , Xencor will apply its XmAb bispecific Fc technology to create and characterize XmAb CD28 bispecific antibody candidates against B - cell targets during a two - year joint research collaboration , and Janssen will have an exclusive worldwide license to develop selected molecules in combination with plamotamab and other agents , such as CD3 bispecific antibodies . Xencor will receive an upfront payment of $ 100 million , and Johnson & Johnson Innovation - JJDC , Inc. will purchase $ 25 million of newly issued shares of Xencor common stock . Xencor will be eligible to receive up to $ 1.188 billion in potential development , regulatory and sales milestone payments , as well as tiered royalties on net sales of products developed under the agreement , ranging from mid - teen to low - twenties percentages for products containing plamotamab and plamotamab / CD28 bispecific antibody combinations . Separate terms apply to CD28 bispecific antibodies commercialized outside of a plamotamab combination , where Xencor retains an option to co - fund development costs in exchange for higher royalties and the right to co - detail such products in the United States . The agreement is subject to customary closing conditions , including clearance under the Hart - Scott - Rodino Antitrust Improvements Act , and closing is expected to occur in the fourth quarter of 2021 . Conference Call Xencor management will host a conference call today at 8:00 a.m. ET ( 5:00 a.m. PT ) to discuss the agreement . The live call may be accessed by dialing ( 877 ) 359-9508 for domestic callers or +1 ( 224 ) 357-2393 for international callers and referencing conference ID number 8580556. A live webcast of the conference call will be available online from the Investors section of Xencor's website at www.xencor.com . The call will be archived on Xencor's website for 30 days . About Plamotamab