Two weeks after Teva touted promising long-term data for its Sanofi-partnered bowel disease drug, the Israeli pharma has secured $400 million to fuel the drug’s development.
Private equity investor Blackstone Life Sciences is putting up the cash, which will be spread across four years to fund development of the anti-TL1A antibody, called duvakitug. In return, Teva will make an undisclosed payment if duvakitug secures FDA approval, followed by an undisclosed amount of commercial milestone payments and low single-digit royalties on worldwide sales.
Teva and Sanofi already demonstrated in late 2024 that duvakitug improved outcomes in ulcerative colitis (UC) and Crohn’s disease—the two most common forms of inflammatory bowel disease—in a phase 2 study. Both arms of that trial hit their primary endpoint of clinical remission, the companies reported at the time.
The two drugmakers have sustained interest in the drug since then, sharing longer-term data last month they claimed showed “durable clinical and endoscopic efficacy.” Duvakitug is currently in phase 3 studies for both UC and Crohn’s, which both started in the final quarter of 2025.
If duvakitug makes it to market, it looks set to go up against rival anti-TL1A antibodies like Merck & Co.’s tulisokibart and Roche’s afimkibart, which are both also in phase 3 development, as well as a host of major blockbusters already on the market.
Teva put yesterday’s funding deal with Blackstone in the context of the drugmaker’s “Pivot to Growth” strategy to accelerate its innovative pipeline and bring treatments to patients faster.
“Today’s announcement highlights how we are turning strategy into action under Pivot to Growth,” said Evan Lippman, executive vice president of business development at Teva, said in the March 3 release.
“By pursuing disciplined, capital-efficient partnerships, we are accelerating pipeline advancement while maintaining financial strength,” Lippman added. “This is the model we will continue using to build a more innovative, resilient and growth-oriented Teva.”
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Teva has been on the lookout for suitable deals to fund its pipeline, securing up to $500 million from Royalty Pharma in January to support the clinical development of TEV-‘408, an anti-IL-15 antibody in a phase 2 study for celiac disease as well as a phase 1b trial for vitiligo.
Blackstone is an obvious choice, with the investor agreeing last November to fund a portion of the development for Merck & Co.’s TROP2-directed antibody-drug conjugate.
“Duvakitug has the potential to be a best-in-class therapy in a large and growing space, and the Teva and Sanofi teams are well positioned to develop and commercialize this important medicine,” Paris Panayiotopoulos, senior managing director at Blackstone, said in the release.
“In line with our mission, we are delighted to partner with Teva on their Pivot to Growth strategy and to help bring duvakitug to patients as soon as possible.”
