AstraZeneca acquired radioconjugate biotech Fusion

As AstraZeneca looks to move past chemotherapy and radiotherapy, it will enter a market firmly controlled by Novartis

AstraZeneca has announced its acquisition of Fusion Pharmaceuticals for a potential sum of $2.4 billion, aiming to expand its range of radioconjugates in the pharmaceutical sector. Fusion Pharmaceuticals, a Canadian biotech company, specializes in the development of radioconjugates, a form of medication that delivers radioactive isotopes directly to cancer cells using antibodies, peptides, or similar molecules. This targeted approach offers advantages over conventional treatments like chemotherapy and radiotherapy by minimizing damage to healthy cells. In a press release on March 19th, AstraZeneca noted that radioconjugates have emerged as a promising modality in cancer treatment in recent years.

Under the terms of the agreement, AstraZeneca will make an initial cash payment of $2 billion to Fusion, with an additional $400 million tied to specified regulatory milestones. Following the acquisition, Fusion will operate as a wholly owned subsidiary of AstraZeneca while maintaining its activities in both Canada and the United States. Fusion's primary asset is FPI-2265, a radioconjugate designed to target prostate-specific membrane antigen (PSMA), a protein present in metastatic castration-resistant prostate cancer (mCRPC). Currently undergoing Phase II trials, this therapy utilizes actinium-225 to emit alpha particles, delivering a cytotoxic payload directly to tumors.