--- title: 'Industry Daily Summary: What Happened on October 3, 2026' headline: Novartis agrees to pay Abogen $575 million upfront for mRNA therapy description: The deal includes options on other RNA programs. Foghorn and Eli Lilly also ended a cancer drug program. url: https://thebench.bio/news/industry/2026-10-03 topic: industry date: '2026-10-03' covers: - '2026-10-02' - '2026-10-03' date_published: '2026-10-03T15:25:04Z' date_modified: '2026-10-03T15:49:46Z' sources: 8 publisher: The Bench (thebench.bio) --- # Industry Daily Summary: What Happened on October 3, 2026 **Novartis agrees to pay Abogen $575 million upfront for mRNA therapy** The deal includes options on other RNA programs. Foghorn and Eli Lilly also ended a cancer drug program. ## Today in brief Novartis will pay Abogen $575 million upfront for worldwide rights to its mRNA-encoded T-cell engager ABO2203 and options on other RNA programs. [1] [2] Abogen could receive up to $7.2 billion in additional payments if Novartis exercises all options and the milestones are met. [1] [3] Foghorn Therapeutics and Eli Lilly stopped developing FHD-909 after Phase 1 results showed inadequate antitumor activity. [4] A BioCentury analysis identified three other deals for early-stage China-originating assets, each with at least $300 million upfront. [5] ## Novartis licenses Abogen’s mRNA T-cell engager Novartis secured worldwide rights to ABO2203, an investigational treatment that uses mRNA to prompt cells to produce a protein directing T cells to kill B cells. [1] [3] The agreement also gives Novartis options to license other assets from Abogen’s RNA platform. [1] [2] ABO2203 is in Phase 1 trials for autoimmune diseases and B-cell non-Hodgkin lymphoma. [3] Abogen reported responses in nine people with lymphoma in a separate early oncology study. The results came from a small dose-escalation group and a disease setting different from autoimmunity. [2] The deal is subject to customary closing requirements, including regulatory clearances. [2] ## Foghorn and Lilly discontinue FHD-909 Foghorn Therapeutics and Eli Lilly ended development of FHD-909 after Phase 1 dose-escalation results showed insufficient antitumor activity. [4] The companies said the drug was tolerable and showed selective target engagement, but not enough activity to continue development. [4] Foghorn is cutting 40% of its workforce and shifting resources to four proprietary pipeline programs. [4] The companies advanced FHD-909 through a collaboration that began in 2021. [4] ## Three China deals put substantial money behind early-stage assets A BioCentury analysis identified three agreements involving Merck, Novo Nordisk and Novartis, each with at least $300 million upfront for an asset with little or no clinical data. [5] Each deal had a potential total value above $2 billion. The assets span different disease areas and treatment types. [5] The analysis said China-originating partnerships now cover a broader range of assets, with commitments made before clinical proof of concept. [5] ## Also worth knowing - Cardinal Health and McKesson extended their pharmaceutical distribution arrangements with CVS Health through June 2032. McKesson still needs to sign a definitive contract. [6] - AstraZeneca, Daiichi Sankyo and Summit Therapeutics plan to study Datroway with ivonescimab, starting with a Phase 3 trial in first-line triple-negative breast cancer. [7] [8] ## The day in numbers - **$575 million**: Upfront payment Novartis agreed to make to Abogen for ABO2203 and options on other programs. [1] - **Up to $7.2 billion**: Potential milestone payments if Novartis exercises all options and the milestones are achieved. [1] [3] - **40%**: Share of Foghorn’s workforce the company is cutting as it shifts resources to four programs. [4] - **3 deals**: Agreements for China-originating assets that each included at least $300 million upfront. [5] ## Sources 1. [Novartis turns to mRNA-encoded engagers for B cell depletion](), BioCentury, 2026-10-03 2. [Novartis Licenses Abogen's mRNA-Encoded CD19xCD3 T-Cell Engager ABO2203 for Autoimmune Diseases](), BioPharm International, 2026-10-02 3. [Novartis bets up to $7.8B on Abogen’s mRNA autoimmune therapy](), European Biotechnology, 2026-10-02 4. [Pharmaceutical Executive Daily: Foghorn Therapeutics & Eli Lilly Discontinue Development of FHD-909](), Pharmaceutical Executive, 2026-10-02 5. [Pharma partnering in China gets earlier and broader](), BioCentury, 2026-10-02 6. [Cardinal Health, McKesson Extend CVS Distribution Deals to 2032](), Pharmaceutical Commerce, 2026-10-02 7. [Roundup: Novartis & Abogen Enter Licensing and Option Agreement, AstraZeneca and Daiichi Sankyo Enter Clinical Collaboration with Summit Therapeutics](), Pharmaceutical Executive, 2026-10-02 8. [The BioPharm Brief: Room Temperature, RNA, and ADCs](), BioPharm International, 2026-10-02 --- The Bench wrote this from the reporting cited above, with a language model drafting and editing. [1]: [2]: [3]: [4]: [5]: [6]: [7]: [8]: