Sorrento Therapeutics, a clinical-stage biopharmaceutical company, has announced a definitive agreement to acquire US-based Concortis Biosystems.

This acquisition provides Sorrento Therapeutics with a comprehensive technology platform for generation of antibody drug conjugates (ADC).

Sorrento Therapeutics, subject to satisfaction of certain closing conditions, will issue an aggregate of 1,331,978 shares of its common stock to the Concortis Biosystems' shareholders upon closing the deal.

With this acquisition, Sorrento Therapeutics will be able to create a new generation of ADCs by using the antibodies identified from its G-MAB library along with Concortis Biosystems' conjugation technologies and novel toxins.

The proprietary C-lock and K-lock conjugation chemistries of Concortis Biosystems enable site-specific conjugation of toxins to the antibody, which will produce homogeneous ADCs with well-defined drug antibody ratios.

In contrast, approved ADCs are a heterogeneous mixture with different DARs.

This could potentially lead to better ADC stability and pharmacokinetics while reducing off-target effects compared to existing ADCs and therefore, improved therapeutic efficacy and treatment safety.

Sorrento Therapeutics president and CEO Dr Henry Ji noted this is a transformational event for the company as very few companies have the breadth of capabilities covering all facets of ADC technology, including the antibodies, the conjugation chemistries, and the toxins.

"We are in an ideal position to become a leading player in this important and rapidly growing field. This also opens up new opportunities for strategic alliances," Dr Ji added.

As part of the deal, Concortis Biosystems president and chief science officer Dr David Miao will become Sorrento Therapeutics chief technology officer after closing the transaction.