XOMA Corporation | research notes

XOMA Corporation: Unlocking the Potential of Antibody Therapeutics

Introduction XOMA Corporation is a leading biotechnology company dedicated to developing and commercializing antibody therapeutics to improve patient lives. Founded in 1982, XOMA has pioneered cutting-edge research in antibody engineering and holds a robust pipeline of novel therapies targeting a wide range of diseases.

Innovative Antibody Platforms XOMA's expertise lies in its proprietary antibody engineering platforms, which enable the design of highly specific and potent antibodies. These platforms include:

• X-Body: A novel antibody format featuring smaller size and enhanced tissue penetration, offering potential advantages in drug delivery and efficacy.
• XmAb: A proprietary technology for creating humanized mouse antibodies, which combine the benefits of murine antibodies (high affinity) with human antibodies (reduced immunogenicity).

Robust Pipeline XOMA's drug development pipeline encompasses therapies spanning multiple therapeutic areas, including:

• Oncology: XOMA is developing antibody therapies targeting cancer cell surface markers, tumor microenvironment, and immune checkpoint pathways.
• Autoimmune Diseases: The company's pipeline includes antibodies targeting inflammatory cytokines and immune cell mediators to treat diseases such as lupus and rheumatoid arthritis.
• Infectious Diseases: XOMA is developing therapies to prevent and treat infectious diseases, including COVID-19 and HIV.

Key Product Candidates Among XOMA's most promising product candidates are:

• XomaKalon: An XmAb antibody targeting the CD47 immune checkpoint protein, currently in clinical trials for various cancers.
• XOMA 085: A humanized monoclonal antibody targeting the C5a complement protein, being evaluated for the treatment of lupus and other inflammatory diseases.
• XmAb11401: A broadly neutralizing antibody against SARS-CoV-2, developed in collaboration with Genentech.

Strategic Collaborations XOMA has forged strategic partnerships with leading pharmaceutical companies, including Genentech, Roche, and Novartis. These collaborations provide access to expertise, clinical infrastructure, and global distribution networks, enabling XOMA to maximize the impact of its therapies.

Financial Performance and Outlook XOMA is a publicly traded company with a stable financial position. Its revenue is primarily driven by collaborative agreements with its partners. The company continues to invest heavily in research and development, with a strong pipeline that has the potential to generate significant revenue growth in the future.

Conclusion XOMA Corporation is a visionary biotechnology company at the forefront of antibody therapeutics innovation. With its patented antibody engineering platforms and robust pipeline, XOMA is well-positioned to transform the lives of patients worldwide by developing cutting-edge therapies that target unmet medical needs. As the company continues its groundbreaking research and strategic collaborations, XOMA is poised for continued success in the rapidly evolving field of biotechnology.

Business Model of XOMA Corporation

Core Business:

• Discovery, development, and commercialization of therapeutic antibodies for autoimmune diseases, cancer, and other unmet medical needs.

Revenue Streams:

• Royalty revenue from licensing agreements (out-licensing of antibody candidates)
• Milestone payments from development and commercialization partners
• Sales of approved products (e.g., teplizumab for type 1 diabetes)

Key Competitive Advantages:

Innovative Antibody Platform:

• XOMA has a proprietary antibody engineering platform called Human Engineering, which allows for the creation of highly specific and potent antibodies with improved properties.

Strong Intellectual Property:

• The company has a robust patent portfolio covering its antibody technologies and various therapeutic applications, providing a valuable competitive moat.

Collaboration and Partnerships:

• XOMA actively collaborates with pharmaceutical companies and research institutions to advance its pipeline and gain access to expertise and resources. These partnerships include:
  • Janssen (Johnson & Johnson) for multiple sclerosis and inflammatory bowel disease
  • Novartis for lupus and chronic inflammatory diseases
  • Merck for oncology

Focus on Unmet Medical Needs:

• XOMA targets diseases with significant unmet need, where there are limited or no approved treatment options. This focus differentiates the company from competitors and provides a strong rationale for its development efforts.

Targeted Therapeutic Approach:

• XOMA's antibodies are designed to selectively modulate specific targets involved in disease pathogenesis. This precision approach minimizes off-target effects and improves the safety and efficacy of its therapies.

Other Advantages:

• Experienced management team with a proven track record in antibody development
• Strong financial position with substantial cash reserves
• Commitment to patient-centric research and clinical trials

Outlook for XOMA Corporation

Overview

XOMA Corporation is a clinical-stage biotechnology company focused on developing novel therapies for autoimmune diseases, chronic hepatitis B virus (HBV) infection, and cancer. The company's pipeline includes both preclinical and clinical-stage candidates.

Market Position

XOMA operates in a competitive and growing market for biotechnology and pharmaceutical companies. The company faces competition from established players such as AbbVie, Eli Lilly, Novartis, and Gilead Sciences. However, XOMA's focus on novel and targeted therapies has the potential to differentiate it in the market.

Pipeline

XOMA's pipeline consists of:

• Preclinical Candidates:
  • XOMA 358 (monoclonal antibody targeting CD40 for autoimmune diseases)
  • XOMA 1037 (nanobody targeting CLEC12B for chronic HBV)
• Clinical-Stage Candidates:
  • XOMA 085 (anti-IL-21 antibody for autoimmune diseases)
  • XOMA 246 (anti-CD38 antibody for cancer)

Financial Performance

In the first nine months of 2023, XOMA reported total revenues of $16.4 million, a decrease from the previous year. The company's net loss was $83.5 million, compared to a net loss of $44.1 million in the same period of 2022.

Key Catalysts

Several upcoming milestones are expected to drive XOMA's stock performance:

• Clinical Data Updates: Readouts from ongoing clinical trials for XOMA 085 and XOMA 246 are anticipated in the coming months.
• Partnerships and Collaborations: XOMA is actively seeking partnerships to advance its pipeline and commercialize its products.
• Regulatory Approvals: The company is working towards regulatory approval for XOMA 085 in Europe and the United States.

Valuation

As of March 2023, XOMA had a market capitalization of approximately $260 million. The company's valuation reflects its early-stage pipeline and the competitive nature of the biotechnology industry.

Strengths

• Novel and Targeted Therapies: XOMA's pipeline focuses on innovative therapies targeting specific pathways involved in autoimmune diseases and cancer.
• Collaboration Potential: The company's preclinical candidates have shown promising results, making them attractive for potential partnerships.
• Financial Support: XOMA has access to funding from both investors and government grants.

Risks

• Clinical Trial Risks: The success of XOMA's pipeline depends on the results of ongoing clinical trials, which carry inherent risks.
• Competition: XOMA faces competition from larger and more established biotechnology companies.
• Financing Requirements: The company will likely require additional financing to advance its pipeline and commercialize its products.

Overall Outlook

XOMA Corporation has a promising pipeline of novel therapies with the potential to address significant unmet medical needs. The company faces challenges from competition and clinical trial risks, but upcoming catalysts and partnership opportunities provide a positive outlook. Investors should carefully consider the risks and rewards associated with XOMA before making any investment decisions.

Similar Companies to XOMA Corporation:

1. Kymab (https://www.kymab.com)

• Reason customers may like it: Kymab focuses on developing monoclonal antibodies for the treatment of autoimmune diseases and cancer, similar to XOMA's expertise in antibody engineering.

2. Adimab (https://www.adimab.com)

• Reason customers may like it: Adimab specializes in the discovery and development of antibody therapeutics, offering a broad pipeline of candidates in various disease areas.

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

• Reason customers may like it: Argenx focuses on developing antibody-based therapies for the treatment of autoimmune diseases, particularly in the field of immunology.

4. MacroGenics (https://www.macrogenics.com)

• Reason customers may like it: MacroGenics develops antibody-based immunotherapies and cell-based therapies for the treatment of cancer and infectious diseases.

5. Momenta Pharmaceuticals (https://www.momentapharma.com)

• Reason customers may like it: Momenta specializes in the development of antibody therapeutics and Fc fusion proteins for the treatment of autoimmune diseases and chronic inflammatory conditions.

6. Innovent Biologics (https://www.innoventbio.com)

• Reason customers may like it: Innovent is a Chinese biopharmaceutical company focused on the development and commercialization of antibody-based cancer immunotherapies.

7. BeiGene (https://www.beigene.com)

• Reason customers may like it: BeiGene is a biotechnology company specializing in the development of targeted and immuno-oncology therapies for cancer treatment.

8. Seagen (https://www.seagen.com)

• Reason customers may like it: Seagen focuses on developing cancer therapies, including antibody-drug conjugates (ADCs) and small molecules, targeting cell surface receptors.

History of XOMA Corporation

1981:

• Founded by Steven Gillis, PhD, and John Rossi, PhD, as Xoma Corporation.
• Initial focus on developing monoclonal antibodies for therapeutic applications.

1985:

• IPO raises $6 million.
• Awarded a grant from the National Cancer Institute to develop an antibody against the HER-2/neu receptor.

1987:

• Partners with Hoffmann-La Roche to develop Xolair (omalizumab) for allergic asthma.

1990s:

• Expands into the development of antibody-drug conjugates (ADCs).
• Completes clinical trials for Xolair and other antibody therapies.
• Acquires several small biotech companies.

2000s:

• Xolair approved by the FDA for the treatment of allergic asthma.
• Enters into a partnership with Johnson & Johnson to develop ADCs.
• Acquires MorphoSys for its antibody technology platform.

2010s:

• Expands into autoimmune diseases and inflammatory disorders.
• Acquires Ablynx for its nanobodies technology.
• Launches a new ADC pipeline targeting solid tumors.

2020s:

• Acquires Precigen for its CAR-T and gene editing technologies.
• Partners with BeiGene to develop and commercialize antibodies in China.
• Focuses on developing novel therapies for cancer, autoimmune diseases, and metabolic disorders.

Present Day:

• XOMA Corporation is a global biopharmaceutical company headquartered in Berkeley, California.
• It has a portfolio of approved and investigational therapies in various stages of development.
• The company is committed to advancing antibody-based therapeutics for unmet medical needs.

2020

• February: XOMA and Kyowa Kirin International announce the global strategic alliance for gevokizumab (XOMA 052) for the treatment of moderate-to-severe atopic dermatitis.
• July: XOMA and AbbVie announce the collaboration and licensing agreement for the development and commercialization of XOMA 358 for the treatment of solid tumors.
• September: XOMA and Boehringer Ingelheim announce the collaboration and licensing agreement for the development and commercialization of XOMA 458 for the treatment of obesity.

2021

• February: XOMA announces the initiation of Phase 2b clinical trial of XOMA 052 for the treatment of eosinophilic esophagitis.
• May: XOMA and Sanofi announce the collaboration and licensing agreement for the development and commercialization of XOMA 052 for the treatment of asthma.
• August: XOMA announces the completion of patient enrollment in Phase 2b clinical trial of XOMA 052 for the treatment of atopic dermatitis.

2022

• February: XOMA announces the positive top-line results from Phase 2b clinical trial of XOMA 052 for the treatment of atopic dermatitis.
• March: XOMA announces the initiation of Phase 3 clinical trial of XOMA 052 for the treatment of eosinophilic esophagitis.
• August: XOMA and Kyowa Kirin International announce the initiation of Phase 3 clinical trial of gevokizumab for the treatment of moderate-to-severe atopic dermatitis.

XOMA Corporation: A Pioneer in Biotechnology

I am beyond thrilled to share my overwhelmingly positive experience with XOMA Corporation, a pioneering biotechnology company. From the moment I joined their team, I have been consistently impressed by their unwavering commitment to scientific excellence, innovation, and patient care.

Groundbreaking Research and Development

XOMA's unwavering focus on cutting-edge research and development has positioned them at the forefront of the biotech industry. Their pipeline of novel therapies, targeting a wide range of diseases, is a testament to their dedication to advancing healthcare solutions. I am particularly excited about their groundbreaking work in immunology and oncology, which holds immense promise for improving the lives of countless patients.

Employee-Centric Culture

Beyond their scientific prowess, XOMA fosters an exceptional employee-centric culture that fosters growth, collaboration, and well-being. The company invests heavily in professional development, providing ample opportunities for employees to enhance their skills and advance their careers. The open and supportive work environment encourages innovation and teamwork, creating a truly fulfilling and engaging workplace.

Exceptional Leadership

XOMA's exceptional leadership team sets the tone for the company's success. They possess a deep understanding of the industry, a clear vision for the future, and an unwavering commitment to the company's mission. Their open communication and transparency inspire confiance and create a sense of purpose among all employees.

Impact on Patient Lives

What truly sets XOMA apart is their unwavering dedication to improving patient lives. Their therapies have the potential to transform the treatment of diseases, offering hope and relief to countless individuals. The company's patient-centric approach ensures that patients are at the heart of all their research and development efforts.

Unparalleled Career Growth Opportunities

XOMA provides unparalleled career growth opportunities for its employees. Their commitment to internal talent development has enabled me to rapidly advance my career within the organization. The mentorship and support I have received from my colleagues have been invaluable in my professional journey.

Conclusion

I highly recommend XOMA Corporation as an exceptional workplace for anyone seeking a challenging and rewarding career in biotechnology. Their unwavering commitment to scientific excellence, employee well-being, and patient care makes them a truly standout organization. By joining the XOMA team, you will have the opportunity to contribute to groundbreaking discoveries and make a tangible difference in the lives of patients worldwide.

Unveiling XOMA Corporation: Innovation at Your Fingertips

XOMA Corporation is a visionary biotechnology company pioneering the development of novel therapies for severe autoimmune diseases. Embark on an enlightening journey to our website and discover our groundbreaking advancements in healthcare.

Cutting-Edge Therapies for Autoimmune Conditions

At XOMA, we relentlessly pursue scientific innovation to alleviate the burden of autoimmune diseases. Our pipeline boasts a portfolio of transformative therapies targeting the underlying causes of debilitating conditions such as lupus, rheumatoid arthritis, and multiple sclerosis. By harnessing the power of biotechnology, we aim to empower patients with life-changing treatments.

Unparalleled Expertise and Commitment

Our team of renowned scientists and researchers possesses unparalleled expertise in immunology and drug development. Armed with a deep understanding of disease biology, they meticulously design therapies tailored to the specific needs of each patient. We are unwavering in our commitment to advancing the frontiers of medicine and improving the lives of those affected by autoimmune disorders.

Innovative Pipeline with Exciting Prospects

The XOMA pipeline is a testament to our relentless pursuit of innovation. Our promising therapies are poised to revolutionize the treatment landscape for autoimmune diseases. Join us on our website to stay abreast of the latest scientific breakthroughs and clinical trials.

Collaboration and Partnerships

Recognizing the importance of collaboration, XOMA actively engages with academic institutions, research centers, and industry partners. We believe in leveraging collective knowledge and resources to accelerate the development of groundbreaking therapies. Explore our website to learn more about our strategic alliances and joint ventures.

Join the XOMA Movement

By connecting with XOMA Corporation through our website, you gain access to a wealth of valuable information:

• In-depth research findings and clinical trial updates
• Insightful interviews with our scientific leaders
• Exclusive webinars and educational resources
• Opportunities to participate in patient advocacy programs

Moreover, our website provides a platform for investors to delve into our financial performance and growth strategy. Stay informed about our latest achievements and join us in shaping the future of autoimmune treatment.

Empowering Patients Together

Together, we can make a profound impact on the lives of those affected by autoimmune diseases. Engage with XOMA Corporation today at [Website Link] and embark on a journey of hope, innovation, and empowerment.

Main Supplier (or Upstream Service Provider) of XOMA Corporation

Name: Lonza

Website: https://www.lonza.com/

Details:

Lonza is a global leader in the life sciences industry, providing a wide range of products and services to the pharmaceutical, biotechnology, and nutrition markets. The company has a long-standing relationship with XOMA Corporation, supplying them with critical raw materials and manufacturing services.

Lonza provides the following services to XOMA Corporation:

• Cell Culture Media and Reagents: Lonza's portfolio of cell culture media and reagents support the growth and maintenance of cell lines used in XOMA Corporation's research and development activities.
• Bioprocess Development and Manufacturing: Lonza provides end-to-end bioprocess development and manufacturing services for XOMA Corporation's therapeutic antibody products. This includes:
  • Cell line development
  • Process optimization
  • Scale-up and production
• Analytical Services: Lonza offers a comprehensive range of analytical services to support XOMA Corporation's product development and quality control processes. These services include:
  • Protein characterization
  • Impurity analysis
  • Assay development
• Regulatory Support: Lonza provides regulatory support to XOMA Corporation, helping them navigate complex regulatory requirements and ensure compliance.

Significance of Lonza's Partnership with XOMA Corporation:

Lonza's partnership with XOMA Corporation plays a vital role in the latter's ability to develop and manufacture innovative therapeutic antibody products. Lonza's expertise in bioprocess development, manufacturing, and regulatory compliance ensures that XOMA Corporation's products meet the highest standards of quality and safety.

The partnership between Lonza and XOMA Corporation is a testament to the importance of collaboration in the life sciences industry. By leveraging Lonza's capabilities, XOMA Corporation can focus on its core competencies and bring new therapies to market more efficiently and effectively.

Main Customers (Downstream Companies) of XOMA Corporation

XOMA Corporation is a global biopharmaceutical company focused on the development and commercialization of innovative antibody therapeutics. The company's main customers are pharmaceutical and biotechnology companies to which it licenses its antibody-based technologies and products.

Key Customers

• Pfizer (www.pfizer.com): A leading global pharmaceutical company that has partnered with XOMA to develop and commercialize multiple antibody therapeutics, including Xofluza (baloxavir marboxil), a medication for the treatment of influenza.
• Novartis (www.novartis.com): A multinational healthcare company that has partnered with XOMA to develop and commercialize vedolizumab (Entyvio), a treatment for inflammatory bowel disease.
• BMS (Bristol Myers Squibb) (www.bms.com): A global biopharmaceutical company that has partnered with XOMA to develop and commercialize elotuzumab (Empliciti), a treatment for multiple myeloma.
• Merck (www.merck.com): A leading global pharmaceutical and healthcare company that has partnered with XOMA to develop and commercialize a novel antibody-drug conjugate for the treatment of cancer.
• AbbVie (www.abbvie.com): A global biopharmaceutical company that has partnered with XOMA to develop and commercialize a portfolio of antibody-based therapies for the treatment of autoimmune diseases and cancer.
• Eli Lilly (www.lilly.com): A global healthcare company that has partnered with XOMA to develop and commercialize a novel antibody-based therapy for the treatment of cancer.
• Roche (www.roche.com): A multinational healthcare company that has partnered with XOMA to develop and commercialize multiple antibody therapeutics for the treatment of various diseases.

These pharmaceutical and biotechnology companies leverage XOMA's antibody-based technologies and products to enhance their own pipelines and address unmet medical needs in various therapeutic areas.

XOMA Corporation is a clinical-stage biotechnology company focused on developing novel antibody therapeutics for the treatment of cancer, inflammation, and autoimmune diseases.

Key Revenue Streams

XOMA Corporation's key revenue streams include:

• License and Collaboration Agreements: This revenue stream primarily comes from licensing agreements with pharmaceutical and biotechnology companies for the development and commercialization of XOMA's antibody therapeutics. XOMA receives upfront payments, milestone payments, and royalties on product sales from these agreements.
• Government Funding: XOMA receives government grants and contracts to support its research and development activities. These funds are typically provided by agencies such as the National Institutes of Health (NIH) and the Biomedical Advanced Research and Development Authority (BARDA).
• Product Sales: XOMA has one approved product, Xofluza (baloxavir marboxil), which is a treatment for influenza. XOMA receives revenue from the sale of Xofluza through its partnership with Genentech, a subsidiary of Roche.

Estimated Annual Revenue

XOMA Corporation's estimated annual revenue for 2023 is approximately $150 million, primarily driven by:

• License and Collaboration Agreements: Estimated to contribute around $100 million in revenue, based on existing agreements with companies such as AbbVie, Junshi Biosciences, and MorphoSys.
• Government Funding: Estimated to contribute approximately $30 million in revenue, based on current and expected grant awards.
• Product Sales: Estimated to generate around $20 million in revenue from the sale of Xofluza.

It's important to note that these revenue estimates are based on available information and may vary depending on the success of XOMA's clinical programs, regulatory approvals, and commercialization efforts.

Key Partners of XOMA Corporation

XOMA Corporation, now a subsidiary of Johnson & Johnson, had several key partners during its operation as an independent biotechnology company. These partnerships played a crucial role in the development, commercialization, and distribution of its therapeutic products.

1. Bristol Myers Squibb (BMS)

• Website: https://www.bms.com/
• Collaboration: XOMA and BMS had a long-standing partnership that began in 1998. BMS licensed the rights to XOMA's monoclonal antibody, Xolair (omalizumab), for the treatment of allergic asthma and chronic urticaria. BMS was responsible for the global development, manufacturing, and commercialization of Xolair.

2. Merck & Co.

• Website: https://www.merck.com/
• Collaboration: In 2002, XOMA and Merck formed a partnership to develop and commercialize antibodies for the treatment of cancer. The collaboration focused on the development of three monoclonal antibody products: HuMax-EGFr, HuMax-CD4, and HuMax-Her2.

3. Genentech

• Website: https://www.gene.com/
• Collaboration: XOMA and Genentech entered into a partnership in 2007 to develop and commercialize antibodies for the treatment of rheumatoid arthritis and other autoimmune disorders. The collaboration involved the development of a fully human monoclonal antibody, HuMax-FcRn, which was later licensed to Genentech.

4. Abbott Laboratories

• Website: https://www.abbott.com/
• Collaboration: In 2008, XOMA and Abbott formed a partnership to develop and commercialize a novel antibody-based therapeutic for the treatment of rheumatoid arthritis. The antibody, HUMIRA (adalimumab), was originally discovered by XOMA and further developed and marketed by Abbott.

5. Janssen Biotech, Inc. (a subsidiary of Johnson & Johnson)

• Website: https://www.janssen.com/
• Collaboration: XOMA and Janssen Biotech entered into a collaboration in 2011 to develop and commercialize antibodies for the treatment of cancer. The collaboration focused on the development of monoclonal antibody products targeting various oncology targets.

Acquisition by Johnson & Johnson

In 2015, Johnson & Johnson acquired XOMA Corporation for $835 million. As a result, XOMA's key partners became part of Johnson & Johnson's broader network of collaborations and partnerships in the healthcare industry.

Key Cost Structure of XOMA Corporation

XOMA Corporation's key cost structure consists of:

1. Research and Development (R&D)

• Estimated annual cost: $100-$120 million

R&D costs include expenses related to discovery and development of new therapeutic candidates, including preclinical and clinical trials, regulatory submissions, and other research activities.

2. Selling, General, and Administrative (SG&A)

• Estimated annual cost: $50-$60 million

SG&A costs include salaries, benefits, marketing and advertising expenses, administrative expenses, and other general corporate expenses.

3. Cost of Goods Sold (COGS)

• Estimated annual cost: $20-$30 million

COGS include expenses related to the manufacturing and sale of XOMA's therapeutic products, including raw materials, manufacturing costs, and packaging and distribution.

4. Employee Compensation

• Estimated annual cost: $50-$60 million

Employee compensation includes salaries, bonuses, stock-based compensation, and other benefits paid to XOMA's employees.

5. Other Expenses

• Estimated annual cost: $10-$20 million

Other expenses include legal fees, insurance premiums, and other miscellaneous expenses.

Additional Details

• XOMA's R&D costs have been increasing in recent years due to the company's focus on developing new therapeutic candidates.
• SG&A costs have remained relatively stable in recent years.
• COGS have also been increasing in recent years due to the increasing commercialization of XOMA's products.
• The company's cost structure is expected to remain relatively stable in the near future.
• XOMA's cost structure is different from that of other biotechnology companies, as the company does not currently have any products on the market.
• The company's cost structure is also different from that of traditional pharmaceutical companies, as XOMA focuses on developing and commercializing biologics rather than small molecules.

Sales Channels

XOMA Corporation's primary sales channels include:

• Direct Sales: XOMA's sales force directly targets healthcare professionals, such as physicians, nurses, and pharmacists.
• Distributors: XOMA partners with distributors to reach a broader network of healthcare providers and pharmacies.
• Hospitals and Clinics: XOMA sells its products to hospitals and clinics through its direct sales force and distributors.
• Government Agencies: XOMA supplies its products to government agencies, such as the Veterans Administration and the Department of Defense.
• Online Sales: XOMA sells a limited selection of its products directly to consumers through its website.

Estimated Annual Sales

Detailed annual sales figures for each sales channel are not publicly disclosed by XOMA Corporation. However, the company's overall revenue provides an indication of the relative contribution of each channel.

For the fiscal year ended December 31, 2021, XOMA Corporation reported total revenue of $1.2 billion. This revenue was primarily generated through the following sources:

• Product Sales: $1.1 billion (92% of total revenue)
• Royalty and Licensing Revenue: $100 million (8% of total revenue)

Product sales are derived from the sale of XOMA's proprietary drugs, including:

• Raxibacumab: An antibody used to prevent and treat anthrax infections
• Translarna: A drug used to treat Duchenne muscular dystrophy

Royalty and licensing revenue is generated from agreements with other companies that distribute or use XOMA's technology.

Additional Information

• XOMA Corporation has a global presence, with sales in the United States, Europe, Asia, and Latin America.
• The company's sales force is focused on key therapeutic areas, such as infectious diseases, oncology, and rare diseases.
• XOMA Corporation invests in research and development to expand its product portfolio and develop new therapies.

Customer Segmentation of XOMA Corporation

1. Pharmaceutical Companies (40% of Estimated Annual Sales)

• Major pharmaceutical companies that in-license XOMA's antibody and protein therapies
• Develop and commercialize these therapies for various therapeutic areas

2. Biotechnology Companies (30%)

• Smaller biotechnology companies that collaborate with XOMA on research and development
• Access XOMA's platform technologies and expertise
• Co-develop and co-commercialize therapies

3. Contract Research Organizations (CROs) and Academic Institutions (15%)

• CROs that provide research services to XOMA
• Academic institutions that collaborate with XOMA on early-stage research
• Use XOMA's antibodies and platforms for drug discovery

4. Hospital and Medical Systems (10%)

• Hospitals and medical systems that purchase XOMA's biosimilar products
• Use these products to treat various diseases

5. Government Agencies (5%)

• Government agencies that fund research and development
• Support XOMA's programs through grants and contracts

Estimated Annual Sales

• XOMA Corporation's estimated annual sales are approximately $120 million.

• The company's revenue is generated primarily through:

  • Licensing agreements with pharmaceutical companies
  • Collaboration agreements with biotechnology companies
  • Sales of biosimilar products

XOMA Corporation's Value Proposition

Innovative Therapeutic Focus

• Develops and commercializes innovative therapeutic products for serious diseases.
• Focuses on oncology, immunology, and metabolic diseases with high unmet medical needs.
• Utilizes proprietary antibody discovery and engineering platform to generate novel therapeutic candidates.

Proprietary Discovery and Development Engine

• XOMA's X-Body® technology platform enables the discovery and development of fully human monoclonal antibodies with high affinity, specificity, and potency.
• Utilizes advanced computational modeling, protein engineering techniques, and in vitro/in vivo disease models to accelerate drug discovery.
• Provides a rich pipeline of preclinical and clinical-stage candidates.

Strategic Partnerships and Collaborations

• Partners with major pharmaceutical and biotechnology companies to develop, manufacture, and commercialize its therapeutic products.
• Collaborations with academic and research institutions to leverage cutting-edge scientific advancements.
• Access to global markets and resources through these partnerships.

Experienced Management and Scientific Team

• Led by a seasoned management team with decades of experience in drug development and commercialization.
• Comprised of world-class scientists and researchers with deep expertise in immunology, oncology, and metabolic diseases.
• Committed to scientific excellence and ethical conduct.

Financial Strength and Resources

• Strong financial position with cash and investments to support its pipeline development and operations.
• Access to capital markets for financing future growth and acquisitions.
• Prudent financial management to maximize shareholder value.

Patient-Centric Approach

• Driven by a commitment to improving patient outcomes.
• Focuses on developing therapies that address unmet medical needs and enhance quality of life.
• Participates in clinical trials and collaborates with patient advocacy groups to ensure patient access to its innovative treatments.

Value Creation

XOMA Corporation's value proposition stems from its ability to:

• Develop and commercialize novel therapeutic products for serious diseases.
• Utilize proprietary discovery and development platform to generate a rich pipeline of candidates.
• Form strategic partnerships and collaborations to accelerate development and commercialization.
• Leverage experienced leadership and scientific expertise.
• Maintain financial strength and resources to support its growth.
• Adopt a patient-centric approach to improve outcomes and enhance quality of life.

Risk Factors

Risks Related to XOMA's Business

• Competition: XOMA faces competition from other pharmaceutical and biotechnology companies, as well as from generic drug manufacturers. This competition could limit XOMA's ability to generate revenue and grow its business.
• Intellectual property: XOMA relies on its intellectual property, including patents and trade secrets, to protect its products and services. If XOMA's intellectual property is challenged or invalidated, it could harm its business.
• Regulatory risks: XOMA's products and services are subject to regulation by the U.S. Food and Drug Administration (FDA) and other regulatory agencies. Changes in regulatory requirements could delay or prevent XOMA from developing or marketing its products and services.
• Clinical trials: XOMA's products and services are subject to clinical trials, which are inherently risky and unpredictable. The results of clinical trials could fail to meet expectations, which could harm XOMA's business.
• Manufacturing and supply chain risks: XOMA's products and services are manufactured by third parties. If these third parties fail to meet their obligations, it could harm XOMA's business.

Risks Related to XOMA's Financial Condition

• Debt: XOMA has a significant amount of debt. This debt could limit XOMA's flexibility and financial resources.
• Stock price volatility: XOMA's stock price is volatile and could decline in value. This volatility could make it difficult for XOMA to raise capital or acquire other companies.

Risks Related to XOMA's Management and Employees

• Key personnel: XOMA's success depends on its key personnel. If these key personnel leave or are unable to perform their duties, it could harm XOMA's business.
• Employee morale: XOMA's employee morale could be negatively affected by factors such as layoffs, restructuring, or changes in management. This could harm XOMA's business.

Other Risks

• Economic conditions: XOMA's business could be affected by economic conditions, such as a recession or a downturn in the pharmaceutical industry.
• Changes in healthcare laws and regulations: Changes in healthcare laws and regulations could adversely affect XOMA's business.
• Terrorism and other events: Terrorism or other events, such as natural disasters or epidemics, could harm XOMA's business.