RANI THERAPEUTICS LANDS BILLION-DOLLAR DEAL WITH CHUGAI

A new licensing pact and a major cash infusion sent Rani Therapeutics’ shares soaring, giving the biotech firm funding through 2028.

What’s going on here?

Rani Therapeutics just clinched a billion-dollar licensing agreement with Japan’s Chugai Pharmaceutical and raised over $60 million in new funding, sending its stock up more than 150% in early trading.

What does this mean?

Rani Therapeutics specializes in turning injectable biologics into easy-to-take pills, and now it’s landed a marquee deal with Chugai Pharmaceutical valued at up to $1.09 billion. The agreement focuses on Rani’s RaniPill technology to deliver Chugai’s rare disease antibody candidate, with Rani nabbing $10 million upfront and up to $75 million more tied to technology transfer and development progress. Hitting future sales targets could net another $100 million, plus ongoing royalties down the road. Chugai can opt to add five more drug candidates under similar terms. Add in $60.3 million from new investors, and Rani now expects to be funded through 2028. The result: investors rallied around the news, with shares skyrocketing as markets opened.

Why should I care?

For markets: Biotech bets get a fresh spark.

This deal shows that standout drug delivery platforms are still reeling in major cash, even while biotech funding feels tighter overall. Rani’s shares climbing more than 150% signals strong investor appetite for licensing deals with large pharma partners. If this model works out, other biotechs with innovative delivery methods could be next in line for similar collaborations—potentially reshaping how early-stage companies find funding and scale up.

The bigger picture: New doors open for rare disease treatments.

Oral delivery of advanced medicines could become a new standard if Rani’s tech succeeds, making life easier for patients who need specialized treatments. The agreement spotlights a trend: fast-moving biotechs teaming up with established drugmakers to develop the next generation of therapies. With rare diseases in the spotlight, this could mark a turning point for how complex treatments reach more people around the globe.

Information take from Minimize:

https://finimize.com/content/rani-therapeutics-lands-billion-dollar-deal-with-chugai

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