Zymeworks Inc. has entered into a Collaboration and License Agreement with F. Hoffmann-La Roche Ltd and Hoffmann-La Roche Inc. (collectively, Roche) to grant Roche exclusive rights to develop and commercialize ZW209, a proprietary trispecific T-cell engager targeting DLL3-expressing tumor cells. The agreement, signed on October 22, 2026, grants Roche an exclusive, worldwide, royalty-bearing license to research, develop, and sell pharmaceutical products containing ZW209 and related compounds, as well as companion diagnostics for these products.
Under the terms of the agreement, Roche will be responsible for conducting the Phase Ib clinical trial of ZW209 and all subsequent development activities. Zymeworks will retain responsibility for the manufacture, packaging, and labeling of ZW209 for the Phase Ia monotherapy dose escalation trial. Roche will have the sole right to manufacture products for commercial use and clinical studies, except for the Phase Ia trial, and will handle all commercialization activities at its sole expense.
Financial terms of the deal include an upfront, non-refundable payment of $55.0 million to Zymeworks, due following receipt of clearance under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. Roche will also pay a non-refundable milestone payment of $40.0 million upon the initiation of the Phase Ib Trial. Additionally, Zymeworks is eligible to receive research, development, commercial, and sales-based milestone payments totaling up to $718 million. The company will also receive tiered royalties ranging from high-single-digit to mid-teen percentages on annual net sales of Products, payable on a product-by-product and country-by-country basis until the later of 10 years after the first commercial sale or the expiry of the last valid patent claim.
The agreement stipulates that Roche will have exclusive rights to develop and commercialize one Product in one indication in the United States. However, from the effective date until the earlier of five years, the initiation of the first Phase 3 study, or termination of the agreement, Zymeworks is prohibited from conducting any research, development, or commercialization activities related to T-cell engagers targeting DLL3-expressing cells, or licensing such activities to third parties. The term of the agreement continues on a country-by-country and product-by-product basis until royalty payments cease.
