CytomX Therapeutics, Inc. (NASDAQ: CTMX) is a clinical-stage biopharmaceutical company, which is focused on developing innovative treatments for a wide-range of cancers. The company’s Probody technology platform has made CytomX a pioneer in conditionally activated biologics, which could lead to a new class of more powerful oncology drugs. Shares of the biopharma company rallied 32% during trading on Thursday, November 17, 2022. Over the past three months, CytomX has seen average daily volume of 446,850 shares. However, volume of 42.33 million shares or dollar volume of around $67.73 million, exchanged hands during the day’s trading session.

Shares of CytomX Therapeutics jumped after the company announced that it has entered into a collaboration and licensing agreement with Regeneron Pharmaceuticals, Inc. (NASDAQ: REGN) to develop conditionally-activated investigational bispecific therapies to treat cancer. The two companies plan to leverage CytomX’s Probody platform with Regeneron’s Veloci-Bi bispecific antibody development platform to develop their investigational compounds.

Using the Probody platform, CytomX’s biologic masking strategies will be used to develop an investigational Regeneron bispecifics that can remain inactive until activated by proteases in the tumor microenvironment. The two companies hope they can develop a new oncology treatment that can help maximize the therapeutic window and help limit off-target effects. These next-gen T-cell therapies could potentially help treat different tumor types that have historically not been impacted by immunotherapies.

As a part of the agreement, CytomX will receive $30 million as an upfront payment and maintain the ability to receive future target payments of up to $2 billion depending on certain preclinical, clinical and commercial milestones. If any co-created treatments are commercialized, CytomX will also be eligible for a tiered global net sales royalty as well.

“CytomX has pioneered the field of conditionally-activated therapeutics through high quality and differentiated science, leading to broad experience in biologic masking strategies and a deep understanding of the protease tumor microenvironment,” said Sean McCarthy, D. Phil, CEO and Chairman of CytomX. “We are thrilled that our scientific expertise has attracted Regeneron as our newest collaborator, and we look forward to working closely together to further optimize T-cell engager strategies and push the boundaries of cancer immunotherapy to new levels.”

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