China-based Hansoh Pharmaceutical has signed an exclusive licence and strategic investment agreement with Avere Therapeutics, granting ex-Greater China rights to HS-20118 (AVR-001), a cyclic peptide IL-23 receptor antagonist designed for once-weekly oral dosing with an approximately 100-hour half-life.

Hansoh will receive USD 120 million upfront, up to USD 2.18 billion in milestones, and tiered royalties, while taking a convertible note position expected to result in a 30% to 40% equity stake post-dilution in the merged Avere-NextCure entity, which will trade as AVRX.

Phase Ib data in moderate-to-severe plaque psoriasis showed comparable PASI 75 response and durability to daily oral IL-23 inhibitors after just four weeks of dosing, with favourable tolerability. Avere will prioritise psoriasis while exploring ulcerative colitis (UC), Crohn's disease (CD), and psoriatic arthritis. The deal exemplifies a hybrid out-licensing and co-investment model, leveraging Hansoh's innovative oral cytokine platform to capture both downstream royalties and equity upside.