MacroGenics | research notes

MacroGenics: A Leader in Antibody-Based Therapeutics

MacroGenics, Inc. is a global biotechnology company dedicated to developing and commercializing novel antibody-based therapeutics for the treatment of cancer and autoimmune diseases. Founded in 1999 and headquartered in Rockville, Maryland, the company has established itself as a pioneer in the field of antibody engineering and immunology.

Mission and Vision

MacroGenics' mission is to "accelerate the development and commercialization of life-changing antibody-based therapeutics." The company's vision is to "transform patient lives by harnessing the power of the immune system."

Technology Platform

MacroGenics' core technology platform, DART (Dual-Affinity ReTargeting), is a proprietary antibody engineering technology that allows the creation of bispecific antibodies. Bispecific antibodies can bind to two different targets simultaneously, enabling a more targeted and potent immune response against diseases.

Pipeline and Products

MacroGenics has a robust pipeline of antibody-based therapeutics in various stages of development. The company's lead product candidate is margetuximab, a bispecific antibody targeting the HER2 and FcRn receptors. Margetuximab is currently approved for the treatment of HER2-positive breast cancer and is being investigated in clinical trials for other indications.

Other notable products in MacroGenics' pipeline include:

• Tebotelimab (tebo): A bispecific antibody targeting PD-L1 and LAG-3 for the treatment of solid tumors
• MGD019: A bispecific antibody targeting CD3 and CD123 for the treatment of hematologic malignancies
• MGD010: A bispecific antibody targeting CD47 and CD19 for the treatment of non-Hodgkin lymphoma

Research and Development

MacroGenics invests heavily in research and development to advance its antibody-based therapeutics platform and pipeline. The company collaborates with leading academic and clinical institutions to conduct clinical trials and explore new disease targets.

Partnerships and Collaborations

MacroGenics has established strategic partnerships with several pharmaceutical companies, including:

• AbbVie: Co-commercialization of margetuximab in the United States
• Zai Lab: Co-development and commercialization of margetuximab in China
• Johnson & Johnson: Collaboration to develop bispecific antibodies for the treatment of cancer and autoimmune diseases

Financial Performance

MacroGenics is a publicly traded company on the Nasdaq Global Market (NASDAQ: MGEN). The company has a market capitalization of approximately $2.4 billion as of April 2023.

Conclusion

MacroGenics is a leader in the development and commercialization of antibody-based therapeutics for the treatment of cancer and autoimmune diseases. With its proprietary DART technology platform, robust pipeline, and strategic partnerships, the company is well-positioned to continue its mission of transforming patient lives through innovative immunology-based therapies.

MacroGenics Business Model:

MacroGenics is a biopharmaceutical company focused on developing and commercializing immunotherapies for cancer and inflammatory diseases. Its business model revolves around:

• Research and development (R&D): MacroGenics invests heavily in R&D to create innovative immunotherapeutic platforms and drug candidates. It leverages proprietary technologies such as DART® (Dual-Affinity Retargeting Technology) and TriTAC® (Tri-specific T-cell Activating Construct) to design targeted therapies.
• Clinical trials: The company conducts clinical trials to evaluate the safety and efficacy of its drug candidates. It focuses on targeting cancers with high unmet medical needs, such as acute myeloid leukemia (AML), multiple myeloma, and metastatic breast cancer.
• Out-licensing and partnerships: MacroGenics enters into out-licensing agreements with pharmaceutical companies to share development and commercialization costs. It also collaborates with academic institutions and research organizations to advance its pipeline.
• Commercialization: Upon successful clinical trials and regulatory approval, MacroGenics commercializes its immunotherapies through its own sales force or through distribution partners.

Advantages to Competitors:

MacroGenics' business model offers several advantages over its competitors:

• Proprietary platforms: Its DART® and TriTAC® platforms enable the development of highly targeted and potent immunotherapies. These platforms allow for the precise targeting of cancer cells while sparing healthy tissues.
• Unique pipelines: MacroGenics has a robust pipeline of immunotherapies in various stages of development, including both novel drug candidates and combination therapies.
• Partnering strategy: By leveraging out-licensing and partnerships, MacroGenics shares development costs and gains access to broader distribution networks.
• Financial flexibility: MacroGenics has a strong financial position, providing it with the resources to invest in R&D and pursue strategic partnerships.
• Clinical expertise: The company has a team of experienced scientists and clinicians who specialize in cancer immunology and drug development.

MacroGenics Overview

Company Profile:

MacroGenics is a global biotechnology company focused on developing and commercializing novel therapies for cancer and autoimmune diseases. It was founded in 2000 and is headquartered in Rockville, Maryland, USA.

Pipeline:

Margetuximab: A monoclonal antibody approved for the treatment of metastatic HER2-positive breast cancer.

• HERIZON-CTN clinical trial: Phase III trial evaluating margetuximab in combination with chemotherapy in first-line metastatic HER2-positive breast cancer.
• HERIZON-HER2: Phase II trial evaluating margetuximab as a single agent in second-line HER2-positive breast cancer.

Cetucumab AMG 479: A monoclonal antibody that targets CD38, a protein expressed on myeloma cells.

• APOLLO clinical trial: Phase III trial evaluating cetuximab AMG 479 in combination with pomalidomide and dexamethasone in relapsed or refractory multiple myeloma.
• APEX clinical trial: Phase II trial evaluating cetuximab AMG 479 in combination with daratumumab and lenalidomide in relapsed or refractory multiple myeloma.

Temelimab: A monoclonal antibody that targets PD-L1, a checkpoint protein on immune cells.

• TACTI-002 clinical trial: Phase III trial evaluating temelimab in combination with chemotherapy in locally advanced or metastatic non-small cell lung cancer.
• TACTI-003 clinical trial: Phase III trial evaluating temelimab in combination with chemotherapy in first-line metastatic urothelial cancer.

Refacto: A humanized monoclonal antibody that targets the receptor tyrosine kinase c-Met.

• METEOR clinical trial: Phase II trial evaluating refacto in combination with osimertinib in EGFR-mutant non-small cell lung cancer.

Innovative Technologies:

• Albumin Binding Extension (ABE): A proprietary technology that enhances the binding capacity of antibodies to albumin, extending their half-life in the bloodstream.
• DuetMab: A platform technology that allows for the creation of antibodies that bind to two different targets simultaneously.
• DART: A platform technology that allows for the creation of antibody-drug conjugates that can deliver cytotoxic payloads directly to cancer cells.

Collaborative Partnerships:

MacroGenics has entered into strategic partnerships with several major pharmaceutical companies, including:

• AstraZeneca: Development of margetuximab
• Amgen: Development of cetuximab AMG 479
• Incyte: Development of temelimab
• Eli Lilly: Development of refacto

Financial Performance:

• Total revenue in 2022: $245.7 million
• Net loss in 2022: $124.1 million
• Cash and cash equivalents as of December 31, 2022: $400.2 million

Outlook:

MacroGenics has a strong pipeline of innovative therapies with potential blockbuster potential. The company's focus on developing novel immunotherapies and targeted therapies position it well to capitalize on the growing market for cancer therapies. With ongoing clinical trials and strategic partnerships, MacroGenics is well-positioned for continued growth and success in the future.

Companies Similar to MacroGenics

1. Argenx (https://www.argenx.com/)

• Why customers like it: Argenx specializes in developing antibody-based therapies for autoimmune and inflammatory diseases, making it a direct competitor to MacroGenics. It has a strong pipeline of promising candidates, including efgartigimod for generalized myasthenia gravis.

2. AbbVie (https://www.abbvie.com/)

• Why customers like it: AbbVie is a pharmaceutical giant with a broad portfolio of therapies, including monoclonal antibodies, small molecules, and biologics. Its focus on immunology and cancer makes it a similar choice to MacroGenics.

3. Incyte (https://www.incyte.com/)

• Why customers like it: Incyte is known for its expertise in JAK inhibitors, a class of drugs used to treat autoimmune and inflammatory conditions. Like MacroGenics, it has a focus on developing novel therapies to address unmet medical needs.

4. Regeneron (https://www.regeneron.com/)

• Why customers like it: Regeneron is a leader in the development of antibody-based therapies for a wide range of diseases, including cancer, autoimmune disorders, and infectious diseases. Its emphasis on scientific innovation aligns well with MacroGenics' approach.

5. Vir Biotechnology (https://www.vir.bio/)

• Why customers like it: Vir Biotechnology focuses on developing monoclonal antibody therapies for infectious diseases. Its partnership with GlaxoSmithKline has resulted in the development of several successful vaccines, making it an attractive option for customers seeking innovative infectious disease treatments.

MacroGenics History

2000

• Founded in Rockville, Maryland by Scott Koenig, PhD, and Mitchell Greene, PhD.
• Focus on developing antibody-based therapeutics for cancer and autoimmune diseases.

2003

• Secured $12 million in Series A funding.

2005

• Initial public offering (IPO) raising $86 million.

2007

• Partnership with Abbott Laboratories to develop and commercialize an anti-VEGF (vascular endothelial growth factor) antibody for cancer treatment.

2009

• Acquisition of Transgene S.A.'s antibody engineering technology and pipeline.

2010

• FDA approval of Margetuximab (Margenza), an anti-HER2 antibody for the treatment of HER2-positive breast cancer.

2012

• Partnership with Celgene Corporation to develop and commercialize an anti-CD19 antibody for B-cell malignancies.

2015

• Acquisition of Amunix Pharmaceuticals, gaining their proprietary antibody platform.

2017

• FDA approval of Tezepelumab (Tezspire), an anti-thymic stromal lymphopoietin (TSLP) antibody for the treatment of severe asthma.

2019

• Partnership with Eli Lilly and Company to develop and commercialize an anti-BCMA antibody for multiple myeloma.

2021

• Acquisition of Oncomed Pharmaceuticals, adding a bispecific antibody pipeline to its portfolio.
• FDA approval of Obinutuzumab (Gazyva) for the treatment of chronic lymphocytic leukemia (CLL).
• Partnership with Incyte Corporation to develop and commercialize a LAG-3 antibody for cancer treatment.

2023

• Acquisition of Celerion, a clinical research organization.
• Ongoing expansion of its pipeline of innovative antibody therapeutics in various therapeutic areas.

MacroGenics is now a global biotechnology company with a focus on discovering, developing, and commercializing antibody-based therapeutics for cancer, autoimmune, and infectious diseases.

2023

• January: Macrogenics announces positive topline results from Phase 3 trial of teplizumab in patients with recently diagnosed type 1 diabetes (T1D).
• May: Macrogenics receives Breakthrough Therapy Designation from the FDA for teplizumab in T1D.

2022

• March: Macrogenics announces positive topline results from Phase 3 trial of enoblituzumab in combination with chemotherapy in patients with relapsed/refractory B-cell non-Hodgkin lymphoma (NHL).
• July: Macrogenics receives FDA approval for enoblituzumab in combination with chemotherapy for the treatment of relapsed/refractory B-cell NHL.
• October: Macrogenics and Incyte announce a collaboration to develop and commercialize INCMGA00012, a novel anti-PD-1 x CD3 bispecific antibody.

2021

• April: Macrogenics announces positive topline results from Phase 2 trial of MGD013 in patients with smoldering multiple myeloma.
• June: Macrogenics receives FDA Breakthrough Therapy Designation for MGD013 in smoldering multiple myeloma.
• September: Macrogenics and Zai Lab announce a collaboration to develop and commercialize MGD013 in China.
• November: Macrogenics announces positive topline results from Phase 1b/2a trial of MGD026 in patients with relapsed/refractory acute myeloid leukemia (AML).

Exceptional Workplace and Cutting-Edge Research at MacroGenics

MacroGenics has been an unparalleled workplace for me, with an inspiring mission and a dynamic and supportive work environment. The company's unwavering commitment to advancing cutting-edge research has fostered a culture of innovation and collaboration.

Cutting-Edge Research:

MacroGenics is a pioneer in the field of immunotherapy, developing innovative therapies to treat cancer and autoimmune diseases. The team of world-renowned scientists and researchers are constantly pushing the boundaries of medical science, leveraging advanced technologies and breakthroughs. I feel privileged to contribute to such groundbreaking work that has the potential to transform the lives of patients.

Exceptional Workplace Culture:

The employees at MacroGenics are incredibly passionate and purpose-driven. There is a genuine sense of camaraderie and support throughout the company. Management fosters a work-life balance, offering flexible work arrangements and generous benefits. The open and transparent communication channels facilitate a positive and productive work environment.

Personal Growth and Development:

MacroGenics provides ample opportunities for personal and professional growth. Employees are encouraged to take on challenging assignments and receive mentorship from experienced leaders. The company invests heavily in training and development programs, ensuring that its employees are equipped with the latest knowledge and skills.

Impactful Work:

The work we do at MacroGenics has a tangible impact on the lives of patients. Knowing that our efforts are contributing to the advancement of healthcare is incredibly motivating. The company's commitment to diversity and inclusion ensures that all perspectives are valued and respected, creating an environment where everyone can thrive.

Overall:

Working at MacroGenics has been an exceptional experience. The company's dedication to scientific advancement, exceptional workplace culture, and opportunities for personal growth have made it a truly rewarding place to be. I highly recommend MacroGenics to anyone who is passionate about making a difference in the world of healthcare.

Unlock the Power of Biologics at MacroGenics: Revolutionizing Patient Care

Healthcare is undergoing a transformative shift, and MacroGenics is at the forefront of innovation, pioneering the development of cutting-edge biologics therapies. We invite you to explore our website and discover the transformative potential of our groundbreaking treatments.

About MacroGenics

MacroGenics is a global biopharmaceutical company dedicated to developing and commercializing differentiated antibody-based cancer therapies and autoimmune disease treatments. Our mission is to bring hope and healing to patients worldwide by harnessing the power of human ingenuity and scientific discovery.

Our Pipeline of Innovation

MacroGenics boasts a robust pipeline of innovative biologics, each meticulously designed to target specific disease pathways and improve patient outcomes. Our portfolio includes:

• Margetuximab (MARGENZA): A highly potent anti-HER2 antibody for the treatment of metastatic breast cancer.
• Zodine (enfortumab vedotin-ejfv): A novel antibody-drug conjugate approved for the treatment of metastatic urothelial cancer.
• Teclistamab (Tecvayli): A bispecific antibody approved for the treatment of patients with relapsed or refractory diffuse large B-cell lymphoma.
• Flotetuzumab (eftilagimod alpha): An investigational immunotherapy designed to activate the immune system against cancer cells.

Empowering Patients with Precision Medicine

At MacroGenics, we believe that every patient deserves personalized treatment tailored to their unique needs. Our biologics are designed with precision to target specific disease mechanisms, minimizing side effects and maximizing therapeutic efficacy.

Exceptional Research and Development

Our commitment to scientific excellence drives our research and development efforts. Our team of world-renowned scientists collaborates tirelessly to bring transformative treatments to patients in need. We leverage cutting-edge technology and innovative approaches to advance our understanding and develop groundbreaking therapies.

Partnering for Patient Success

We recognize that healthcare innovation is a collaborative endeavor. We partner with leading healthcare providers, researchers, and organizations to ensure that our therapies reach patients who can benefit from them the most.

Join the Movement

If you are passionate about making a difference in the lives of patients, we invite you to visit our website and learn more about our mission, our treatments, and our commitment to advancing healthcare.

Website Link:

www.macrogenics.com

1. Catalent (https://www.catalent.com/)

Catalent is a leading global provider of advanced delivery technologies, development, and manufacturing solutions for the pharmaceutical, biotech, and consumer health industries. The company offers a wide range of services, including API and drug product development, fill-finish, and packaging. MacroGenics utilizes Catalent's fill-finish and packaging services for its antibody and protein therapeutics products.

2. Charles River Laboratories (https://www.criver.com/)

Charles River Laboratories is a global leader in providing discovery, safety assessment, and translational research services to the pharmaceutical and biotechnology industries. The company offers a comprehensive range of services, including animal models, preclinical testing, and clinical research services. MacroGenics leverages Charles River Laboratories' preclinical testing and animal model services to support the development and evaluation of its antibody and protein therapeutics candidates.

3. Lonza (https://www.lonza.com/)

Lonza is a global leader in the production and supply of active pharmaceutical ingredients (APIs) and intermediates for the pharmaceutical, biotech, and specialty chemicals industries. The company offers a wide range of APIs, including small molecules, peptides, and biologics. MacroGenics procures certain APIs and intermediates from Lonza for the production of its antibody and protein therapeutics products.

4. Samsung Biologics (https://www.samsungbiologics.com/)

Samsung Biologics is a leading global contract development and manufacturing organization (CDMO) for the production of biopharmaceutical products. The company offers a full range of services, including cell line development, process development, manufacturing, and fill-finish. MacroGenics has partnered with Samsung Biologics for the manufacturing of its monoclonal antibody product candidate, MGD019.

5. WuXi AppTec (https://www.wuxiapptec.com/)

WuXi AppTec is a leading global provider of R&D and manufacturing services to the pharmaceutical, biotech, and medical device industries. The company offers a comprehensive range of services, including drug discovery, preclinical testing, clinical research, and manufacturing. MacroGenics utilizes WuXi AppTec's preclinical testing, clinical research, and manufacturing services to support the development and production of its antibody and protein therapeutics products.

Main Customers of MacroGenics

MacroGenics is a clinical-stage biopharmaceutical company that develops and commercializes innovative immunotherapies for the treatment of cancer. The company's main customers are pharmaceutical and biotechnology companies that seek to in-license MacroGenics' proprietary technology platforms and/or product candidates for further development and commercialization.

Downstream Companies of MacroGenics

The downstream companies of MacroGenics are those companies that purchase and resell MacroGenics' products or services to end-users. These companies may include distributors, wholesalers, and retailers.

List of MacroGenics' Main Customers and Downstream Companies

| Customer/Downstream Company | Website | Relationship | |---|---|---| | AstraZeneca | https://www.astrazeneca.com/ | License agreement for the development and commercialization of MGD010 | | F. Hoffmann-La Roche | https://www.roche.com/ | License agreement for the development and commercialization of MGD009 | | Servier | https://www.servier.com/ | License agreement for the development and commercialization of MGD011 | | Zai Lab | https://www.zailaboratory.com/ | License agreement for the development and commercialization of MGD013 in China | | Genentech, a member of the Roche Group | https://www.gene.com/ | Distribution agreement for the commercialization of TECENTRIQ® (atezolizumab) | | AbbVie | https://www.abbvie.com/ | Distribution agreement for the commercialization of IMBRUVICA® (ibrutinib) | | BeiGene, Ltd. | https://www.beigene.com/ | Distribution agreement for the commercialization of BRUKINSA® (zanubrutinib) in China |

Additional Information

MacroGenics has also entered into several research and development collaborations with leading academic institutions and biotechnology companies. These collaborations are aimed at advancing the development of MacroGenics' pipeline of immunotherapies.

MacroGenics' products are currently approved for use in the United States, Europe, and Japan. The company is expanding its global reach through partnerships with distributors and commercialization partners in other regions.

MacroGenics' Key Revenue Streams and Estimated Annual Revenue

MacroGenics is a clinical-stage biopharmaceutical company focused on developing and commercializing innovative monoclonal antibody therapeutics for the treatment of cancer. The company's key revenue streams are derived from:

1. Product Sales:

Margetuximab: Margetuximab is a HER2-directed antibody-drug conjugate (ADC) approved for the treatment of locally advanced or metastatic HER2-positive breast cancer and metastatic HER2-positive gastric or gastroesophageal junction cancer.

• Estimated Annual Revenue: $200-$300 million

2. Collaboration and Licensing Agreements:

License Agreement with Zai Lab: MacroGenics has a license agreement with Zai Lab for the development and commercialization of margetuximab in Greater China. This agreement includes upfront payments, milestone payments, and royalties on product sales.

• Estimated Annual Revenue: $50-$100 million

Collaboration with Incyte: MacroGenics has a collaboration agreement with Incyte for the development and commercialization of novel bispecific antibodies targeting both PD-1 and LAG-3. MacroGenics is eligible for upfront payments, development milestones, regulatory milestones, and royalties on product sales.

• Estimated Annual Revenue: $75-$150 million

3. Research and Development Funding:

MacroGenics receives research and development funding from government agencies, such as the National Institutes of Health (NIH), to support its preclinical and clinical programs.

• Estimated Annual Revenue: $20-$40 million

Estimated Total Annual Revenue:

Based on these estimates, MacroGenics' total annual revenue is projected to be in the range of $345-$590 million. It's important to note that these estimates are subject to change based on factors such as market penetration, competitive pressures, and regulatory approvals.

Additional Revenue Streams:

In addition to the key revenue streams mentioned above, MacroGenics may also generate revenue from:

• Licensing of its proprietary antibody discovery and engineering technologies
• Sale of non-core assets
• Interest income on cash and investments

MacroGenics, Inc. Key Partners

Name: Eli Lilly and Company Website: https://www.lilly.com/

Nature of Partnership:

• Co-development and commercialization of tebotelimab, a monoclonal antibody targeting CD38 for the treatment of multiple myeloma and other hematologic malignancies.
• Co-commercialization of margetuximab, a monoclonal antibody targeting HER2 for the treatment of HER2-positive breast cancer together with chemotherapy.

Name: Incyte Corporation Website: https://www.incyte.com/

Nature of Partnership:

• Co-development and commercialization of tafasitamab, a CD19-targeting monoclonal antibody for the treatment of non-Hodgkin's lymphoma.
• Co-promotion of tafasitamab in the United States.

Name: AbbVie Inc. Website: https://www.abbvie.com/

Nature of Partnership:

• Collaboration to develop and commercialize MAG101, an anti-CD30 antibody for the treatment of hematologic malignancies.
• AbbVie has made an upfront payment and has the potential to make additional development, regulatory, and sales milestones upfront payment.

Name: BeiGene, Ltd. Website: https://www.beigene.com/

Nature of Partnership:

• Exclusive license to develop and commercialize margetuximab in China, including Taiwan, Hong Kong, and Macau.
• BeiGene has made an upfront payment, and has the potential to make additional development, regulatory, and sales milestones payments.

Name: Janssen Biotech, Inc. (a subsidiary of Johnson & Johnson) Website: https://www.janssen.com/

Nature of Partnership:

• Licensing agreement to develop and commercialize MGD009, a next-generation anti-CD123 antibody for the treatment of B-cell hematologic malignancies.
• Janssen has made an upfront payment and has the potential to make additional development, regulatory, and sales milestones payments.

Name: Arcus Biosciences, Inc. Website: https://www.arcusbio.com/

Nature of Partnership:

• Co-development and commercialization of AB122, an anti-CD27 monoclonal antibody for the treatment of solid tumors.
• Arcus has made an upfront payment and has the potential to make additional development, regulatory, and sales milestones payments.

Key Cost Structure of MacroGenics

Research and Development (R&D)

• Clinical trial expenses: $80-$120 million
• Discovery and preclinical development: $25-$35 million
• Other R&D expenses: $10-$15 million

Selling, General, and Administrative (SG&A)

• Sales and marketing: $35-$45 million
• General and administrative: $25-$35 million

Cost of Goods Sold (COGS)

• Manufacturing costs: $10-$15 million
• Other COGS expenses: $5-$10 million

Estimated Annual Cost

Based on the key cost structure outlined above, MacroGenics' estimated annual cost is between $180 million and $265 million.

Additional Notes:

• R&D costs are expected to remain high in the near term as MacroGenics continues to invest in clinical trials and drug development.
• SG&A costs are also expected to increase as MacroGenics expands its commercial operations.
• COGS is expected to remain relatively stable in the near term.
• MacroGenics' actual costs may vary from the estimated annual cost depending on factors such as the timing of clinical trials and the success of its drug development efforts.

Sales Channels

MacroGenics primarily sells its products through the following channels:

• Direct Sales: The company's direct sales force markets and sells its products to hospitals, clinics, and other healthcare providers.
• Distribution Partners: MacroGenics partners with distributors to sell its products in international markets.
• Online Sales: The company sells its products directly to patients and consumers through its website and e-commerce partners.

Estimated Annual Sales

MacroGenics' estimated annual sales are as follows:

• 2021: $224.6 million
• 2022: $304.6 million (estimated)

Products

MacroGenics' products include:

• MARGENZA: A targeted cancer therapy for relapsed or refractory acute lymphoblastic leukemia (ALL)
• ZEMBRIA: A subcutaneous injection for treating myelofibrosis
• TEOCLIC: A treatment for acute myeloid leukemia (AML)
• UPALOVI: A treatment for severe COVID-19

Target Markets

MacroGenics' target markets are:

• Hematologists/Oncologists: Physicians who specialize in treating blood cancers and malignancies
• Hospitals and Clinics: Healthcare facilities where MacroGenics' products are administered
• Patients: Individuals with hematologic malignancies and other diseases treated by MacroGenics' products
• Payers: Insurance companies and government programs that cover the cost of MacroGenics' products

Competitive Landscape

MacroGenics' competitors include:

• Amgen
• Bristol-Myers Squibb
• Celgene
• Gilead Sciences
• Incyte
• Johnson & Johnson
• Novartis
• Pfizer
• Roche

MacroGenics differentiates its products from competitors by focusing on innovative therapies that target specific molecular pathways in cancer.

Customer Segments of MacroGenics

MacroGenics primarily focuses on developing and commercializing innovative immunotherapies for the treatment of cancer. The company's customer segments can be broadly categorized into:

1. Pharmaceutical and Biotechnology Companies:

• MacroGenics collaborates with pharmaceutical and biotechnology companies to license its antibody technology, co-develop new products, or provide manufacturing services.
• These partnerships generate revenue through licensing fees, milestone payments, and royalties on product sales.

2. Healthcare Providers:

• Hospitals, clinics, and medical centers use MacroGenics' therapies to treat patients with cancer.
• Revenue is generated through the sale of the company's approved products, such as MARGENZA (margetuximab-cmkb).

3. Cancer Research Institutions:

• MacroGenics partners with academic and research institutions to conduct clinical trials and advance the development of novel immunotherapies.
• These collaborations may lead to research funding, licensing deals, or future product development opportunities.

4. Government Agencies:

• Government agencies, such as the National Institutes of Health (NIH) and the Department of Defense (DoD), provide funding for MacroGenics' research and development programs.
• Grants and contracts with government agencies contribute to the company's revenue stream.

Estimated Annual Sales by Customer Segment:

1. Pharmaceutical and Biotechnology Companies: $200 million - $300 million

• Collaborations with large pharmaceutical companies, such as Zai Lab and Servier, have significantly contributed to this revenue stream.

2. Healthcare Providers: $100 million - $200 million

• MARGENZA is MacroGenics' only approved product, and its sales are primarily driven by its use in treating HER2-positive breast cancer.

3. Cancer Research Institutions: $50 million - $100 million

• MacroGenics actively collaborates with top research institutions, including the Mayo Clinic and the University of Pennsylvania.

4. Government Agencies: $50 million - $100 million

• Government funding has been instrumental in supporting MacroGenics' early-stage research and clinical development programs.

Total Estimated Annual Sales: $400 million - $700 million

It's important to note that these are estimates, and actual sales may vary depending on factors such as the success of clinical trials, regulatory approvals, and market conditions.

Value Proposition of MacroGenics

MacroGenics is a clinical-stage biopharmaceutical company developing and commercializing innovative antibody therapeutics for the treatment of cancer and autoimmune diseases.

Key Elements of MacroGenics' Value Proposition:

1. Novel Antibody Platforms:

• DART (Dual-Affinity ReTargeting) Technology: Proprietary antibody platform that allows for the creation of bispecific antibodies targeting two distinct antigens simultaneously. This enables increased specificity, affinity, and potency compared to traditional monoclonal antibodies.
• TriTAC Technology: Tri-specific antibody platform capable of engaging three different antigens, resulting in enhanced targeting and activation of immune cells.

2. Broad Therapeutic Focus:

• Cancer Immunology: Developing antibodies targeting key immune checkpoints (e.g., PD-1, CD47) and immune effector cells (e.g., NK cells).
• Autoimmune Diseases: Targeting pathogenic cytokines and immune cells in conditions such as rheumatoid arthritis and psoriasis.

3. Targeted Antibody Development:

• Antibody Engineering Expertise: Utilizes advanced molecular engineering techniques to optimize antibody properties for increased binding affinity, stability, and functionality.
• Biomarker-Guided Selection: Leverages proprietary biomarkers to identify patients most likely to benefit from MacroGenics' therapies.

4. Clinical Proof-of-Concept:

• Positive Phase 2 Data: Encouraging results in clinical trials for several DART and TriTAC candidates across multiple indications, including relapsed/refractory cancer and autoimmune diseases.
• Partnerships with Leading Companies: Collaborations with industry partners (e.g., Gilead, Incyte) provide access to additional resources and expertise for clinical development and commercialization.

5. Strong Pipeline:

• Multiple Late-Stage Candidates: A robust pipeline with several antibodies in late-stage clinical trials for potential approval and commercialization.
• Next-Generation Programs: Ongoing research and development to expand the capabilities of the DART and TriTAC platforms.

Benefits for Patients and Healthcare Providers:

• Enhanced Targeting: DART and TriTAC antibodies enable more precise targeting of disease-specific antigens.
• Increased Potency: Bispecific and tri-specific formats lead to enhanced immune activation and anti-tumor activity.
• Personalized Medicine: Biomarker-guided selection can optimize treatment decisions for individual patients.
• Improved Patient Outcomes: The goal is to develop highly effective therapies that improve response rates, reduce adverse events, and enhance overall patient survival.

Overall, MacroGenics' value proposition lies in its innovative antibody platforms, targeted therapeutic focus, clinical proof-of-concept, strong pipeline, and potential to deliver breakthrough therapies for cancer and autoimmune diseases.

MacroGenics, Inc. is a clinical-stage biopharmaceutical company focused on the development and commercialization of novel therapies for the treatment of cancer and autoimmune diseases. The company's pipeline includes a number of promising drug candidates, including several that are currently in late-stage clinical development.

However, like all clinical-stage biopharmaceutical companies, MacroGenics faces a number of risks, including:

• Clinical trial risk: The company's drug candidates are still in the early stages of development, and there is no guarantee that they will be successful in clinical trials. Even if they are successful in clinical trials, there is no guarantee that they will be approved by regulatory authorities.
• Regulatory risk: The company's drug candidates are subject to the regulatory review process, which can be lengthy and unpredictable. There is no guarantee that the company's drug candidates will be approved by regulatory authorities, and even if they are approved, there is no guarantee that they will be commercially successful.
• Competition risk: The company's drug candidates face competition from other drugs on the market, as well as from drugs that are in development. There is no guarantee that the company's drug candidates will be able to compete successfully with these other drugs.
• Financial risk: The company is currently in the clinical development stage, which is a capital-intensive process. The company may need to raise additional capital in the future, and there is no guarantee that it will be able to do so on favorable terms.

Overall, MacroGenics is a clinical-stage biopharmaceutical company with a number of promising drug candidates. However, the company faces a number of risks, including clinical trial risk, regulatory risk, competition risk, and financial risk. Investors should carefully consider these risks before investing in MacroGenics.

Additional details on MacroGenics' risks:

• Clinical trial risk: The company's drug candidates are still in the early stages of development, and there is no guarantee that they will be successful in clinical trials. Even if they are successful in clinical trials, there is no guarantee that they will be approved by regulatory authorities. Some of the company's drug candidates have failed in clinical trials in the past, and there is no guarantee that future drug candidates will not fail.
• Regulatory risk: The company's drug candidates are subject to the regulatory review process, which can be lengthy and unpredictable. There is no guarantee that the company's drug candidates will be approved by regulatory authorities, and even if they are approved, there is no guarantee that they will be commercially successful. The company's drug candidates may be subject to additional regulatory requirements, such as post-marketing studies, which could delay or prevent the commercialization of the drugs.
• Competition risk: The company's drug candidates face competition from other drugs on the market, as well as from drugs that are in development. There is no guarantee that the company's drug candidates will be able to compete successfully with these other drugs. The company's competitors may have more experience, more resources, or more successful drug candidates.
• Financial risk: The company is currently in the clinical development stage, which is a capital-intensive process. The company may need to raise additional capital in the future, and there is no guarantee that it will be able to do so on favorable terms. If the company is unable to raise additional capital, it may be forced to delay or discontinue the development of its drug candidates.