AbbVie and Xilio Therapeutics announce collaboration

AbbVie (ABBV) and Xilio Therapeutics (XLO) announced a collaboration and option-to-license agreement to develop novel tumor-activated, antibody-based immunotherapies, including masked T-cell engagers, leveraging Xilio’s proprietary technology. Xilio has developed a proprietary, clinically-validated platform technology for tumor-activated biologics. The company is advancing a pipeline of novel, clinical and pre-clinical immunotherapies, including masked multispecific molecules designed to achieve tumor-selective activation by leveraging masking and other unique components that are optimized for the specific target. This allows focused activity within the tumor microenvironment with the goal of minimizing systemic adverse events. Under the terms of the agreement, Xilio will receive $52.0M in total upfront payments, including a $10.0M equity investment, and will be eligible to receive up to approximately $2.1B in total contingent payments for option-related fees and milestones plus tiered royalties.