XOMA Royalty (NASDAQ:XOMA) announced the amendment of its 2006 collaboration agreement with Takeda (NYSE:TAK), marking a strategic shift in the economics of their partnership.
The deal, announced on Dec. 30, 2025, will see Takeda regain the majority of XOMA Royalty's economics related to mezagitamab, a monoclonal antibody for inflammatory diseases.
Under the amended terms, XOMA Royalty will retain a low single-digit royalty on mezagitamab, along with up to $13 million in potential milestones.
Previously, XOMA Royalty held a mid-single-digit royalty and the possibility of up to $16.25 million in milestones from the drug's sales.
In exchange, XOMA Royalty will gain new rights to a basket of nine development-stage assets from Takeda's externalized portfolio, which includes programs from companies such as Neurocrine, Mirum, Oak Hill Bio, and Recursion, among others.
XOMA will receive low to mid-single-digit royalties and additional milestones tied to the success of these assets.
The transaction reflects a realignment of the two companies' focus on assets in development, with XOMA shifting its attention to a broader array of Takeda's pipeline, while Takeda regains greater control over mezagitamab's future potential.