Exact Sciences Acquires Exclusive Rights to Freenome's Blood-Based Colorectal Cancer Screening Tests

Exact Sciences has signed an exclusive deal with biotech firm Freenome, gaining rights to current and future blood-based colorectal cancer screening tests. Freenome will receive a $75M cash payment and future milestone payments. The deal aims to enhance Exact Sciences' ability to detect and diagnose colorectal cancer.

Freenome, a biotechnology company specializing in early cancer detection, has entered into an exclusive license agreement with Exact Sciences. The deal, worth up to $885 million, grants Exact Sciences the rights to Freenome's current and future blood-based colorectal cancer screening tests. The agreement includes an upfront payment of $75 million, with additional milestone payments and royalties tied to regulatory approvals and sales performance.

Under the terms of the agreement, Freenome will retain the rights to its CRC blood test when ordered in combination with other cancer screening tests. Exact Sciences will leverage its extensive commercial infrastructure to accelerate market adoption of the CRC blood test. This includes access to nearly 400 health systems, over 865 in-network payers, and more than 260,000 ordering physicians. Freenome will initially lead test processing, analysis, and return of results, while working with healthcare organizations to identify eligible patients for multiple tests.

The collaboration aims to enhance Exact Sciences' ability to detect and diagnose colorectal cancer, with the ultimate goal of increasing screening rates and improving patient outcomes. Freenome's CRC blood test has shown promising results in clinical trials, detecting 81.1% of colorectal cancers, including 63.5% at stage 1, and 13.7% of advanced precancerous lesions (APL), with a specificity of 90.4% [1].

Freenome's CEO, Aaron Elliott, Ph.D., expressed excitement about the partnership, stating, "This agreement represents a pivotal moment in our mission to detect cancer in its earliest, most treatable stages. With this collaboration, our CRC blood test will be available much sooner to millions of patients." Kevin Conroy, chairman and CEO of Exact Sciences, added, "This deal accelerates our ability to bring new solutions to market, enhancing our reach to unscreened patients."

The agreement also includes provisions for joint research and development, with Freenome receiving $20 million in funding for three years and an equity investment of $50 million. The deal will provide Freenome with access to real-world patient and multimodal molecular data, which will feed AI/ML models to improve its platform and develop tests for other cancer types.

Colorectal cancer is the world's second deadliest cancer, with over 50,000 deaths per year in the U.S. alone. Early detection significantly improves survival rates, with over 90% of patients surviving when cancer is detected at its earliest stages. The availability of less invasive, more accessible screening options like blood-based tests has been shown to increase screening rates [2].

Freenome's multiomics platform analyzes genomic, epigenomic, and proteomic biomarkers to detect cancer-specific signals in the bloodstream. The company's goal is to create a common lab platform with custom panels and classifiers to offer multiple tests to individuals based on risk profiles and guideline eligibility.

This strategic partnership between Freenome and Exact Sciences is expected to have a significant impact on the early detection and diagnosis of colorectal cancer, potentially improving patient outcomes and reducing mortality rates.

References:
[1] https://www.biospace.com/press-releases/freenome-announces-exclusive-license-agreement-with-exact-sciences-to-commercialize-freenomes-blood-based-screening-test-for-colorectal-cancer
[2] https://www.freenome.com/newsroom/freenome-announces-exclusive-license-agreement-with-exact-sciences-to-commercialize-freenomes-blood-based-screening-test-for-colorectal-cancer/