OSE's High-Stakes Pivot: Taking the Reins of an AbbVie Partnership

NANTES, France – December 08, 2025 – In a move that speaks volumes about both conviction and the evolving landscape of pharmaceutical partnerships, French biotech OSE Immunotherapeutics has fundamentally altered its collaboration with industry giant AbbVie. The two companies have amended their agreement for ABBV-230, a promising preclinical antibody for chronic inflammation, in a strategic pivot that hands the reins—and the bill—for early-stage development back to its original creator.

While a smaller partner taking on more financial risk might initially seem like a step backward, a closer look reveals a calculated gamble by OSE and a shrewd piece of portfolio management by AbbVie. The transaction is a masterclass in modern biotech strategy, where confidence in first-in-class science meets the capital allocation realities of Big Pharma. It’s a story not of a partnership failing, but of one maturing into a new, risk-adjusted reality that could set a precedent for future deals across the industry.

The Anatomy of a Recalibrated Deal

The original agreement, inked in February 2024, was a classic blockbuster biotech deal. AbbVie paid OSE Immunotherapeutics $48 million upfront for the exclusive global license to OSE-230 (now ABBV-230) and promised up to $665 million in future milestones, plus royalties. AbbVie was in the driver's seat.

Under the amendment announced today, that structure has been significantly re-engineered. OSE will now assume full responsibility for conducting and financing all preclinical work and the crucial Phase 1 clinical trial. In exchange for this increased control and accelerated timeline, OSE forfeits the near-term milestone payment it would have received upon the trial's initiation.

Crucially, however, the long-term economics remain intact. AbbVie retains its exclusive option to take over development and commercialization after a successful Phase 1, and OSE preserves its eligibility for all subsequent development and sales-based milestones, as well as tiered royalties on global net sales. In essence, OSE is trading a near-term cash infusion for greater operational control and the chance to drive the asset's value higher before AbbVie potentially re-engages with its full financial might.

As OSE’s CEO, Marc Le Bozec, stated, “The overall value of our collaboration with AbbVie for ABBV-230 remains unchanged. Assuming leadership of early-stage development enables OSE to accelerate progress on this innovative program while leveraging our core immunology expertise.”

OSE’s Calculated Gamble on Itself

This strategic shift places a significant bet on two things: OSE’s scientific expertise and its balance sheet. By taking charge, the company is signaling immense confidence in its ability to efficiently advance ABBV-230 through early clinical trials. This is more than just corporate posturing; it's a declaration that they believe they can execute this phase better and faster than their larger partner might have prioritized it.

The financial implications, however, are stark. OSE must now fund a costly development program "at its sole discretion," contingent on securing adequate funding. The company’s cash position, which stood at a healthy €64.2 million at the end of 2024 following the initial AbbVie payment, had decreased to €41.6 million by mid-2025. Its projected cash runway, now estimated to last until the fourth quarter of 2026, was calculated after prudently excluding the now-forfeited milestone payment.

Taking on the full cost of preclinical and Phase 1 development will add significant pressure to this burn rate. While the company is exploring options to extend its runway, this move transforms ABBV-230 from a licensed asset generating potential income into a capital-consuming internal program. It is a high-risk, high-reward maneuver. Success in Phase 1 would dramatically increase the asset's value and OSE's negotiating leverage. Failure would be a costly setback funded directly from its own coffers.

A Bellwether for Big Pharma Strategy

From AbbVie’s perspective, the amendment is a sophisticated de-risking strategy that aligns perfectly with current industry trends. Big Pharma is increasingly moving away from absorbing the high costs and risks of early-stage, unproven science. Instead, they are structuring partnerships that function more like options contracts, allowing them to keep promising assets in their orbit without committing massive internal resources until human proof-of-concept is established.

This revised deal allows AbbVie to see the Phase 1 data before committing the nine-figure sums required for later-stage development. It effectively outsources the riskiest phase of development back to the nimble, specialized biotech that originated the science, all while retaining the ultimate prize. This capital-efficient approach frees up AbbVie’s formidable R&D budget to focus on its later-stage pipeline and commercial-stage assets, where its scale provides the greatest advantage.

"This is the new normal," commented one industry analyst who covers biotech partnerships. "Large pharma wants to see data. They are willing to pay a premium for de-risked assets, and they are increasingly structuring deals to ensure their partners carry the burden of generating that initial human data. It's a 'show me, don't just tell me' approach to R&D investment."

The Science Driving the Strategy

This entire strategic chess match is predicated on the unique scientific promise of ABBV-230. The drug is not just another anti-inflammatory in a crowded market projected to exceed $200 billion within a decade. Its target, a receptor called ChemR23, offers a fundamentally different approach.

Most existing therapies for conditions like inflammatory bowel disease (IBD) or rheumatoid arthritis work by suppressing the immune system, which can leave patients vulnerable to infections. ABBV-230, an agonistic antibody, is designed to activate ChemR23 to proactively resolve inflammation. It aims to switch on the body's natural off-switches for an inflammatory response, restoring balance rather than simply blocking a pathway. Preclinical models have shown this approach can accelerate healing and reduce tissue damage in chronic colitis.

This "pro-resolution" mechanism positions ABBV-230 as a potential first-in-class therapy, particularly for patients who don't respond to current treatments. It is this novel science that gives OSE the confidence to double down on its investment and keeps AbbVie committed for the long term. Both companies are betting that the unique biology of ChemR23 is the key to unlocking a new therapeutic paradigm, making the early-stage development risk a worthwhile entry fee for a potentially transformative medicine. The revised deal ensures that this promising science has a dedicated, focused team driving it toward the clinic as quickly as possible.