Vir Biotechnology Partners with Astellas for VIR-5500 Development
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
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Should l Buy VIR?
Source: NASDAQ.COM
- Strategic Collaboration: Vir Biotechnology has entered a global strategic collaboration with Astellas Pharma to co-develop VIR-5500, receiving $335 million in upfront and near-term payments, including $240 million in cash and a $75 million equity investment, reflecting strong market confidence.
- Clinical Data Update: Updated Phase 1 results for VIR-5500 in heavily pre-treated metastatic castration-resistant prostate cancer patients show a favorable safety profile, with 82% of patients achieving a 50% decline in PSA levels and 53% achieving a 90% decline, laying a solid foundation for further development.
- Future Development Plans: Vir plans to initiate dose-expansion cohorts and combination cohorts with enzalutamide in Q2 2026, with pivotal Phase 3 trials expected in 2027, further advancing the product's path to market.
- Strong Financial Position: As of the end of 2025, Vir had $781.6 million in cash and cash equivalents, and the collaboration with Astellas is expected to fund operations into Q2 2028, demonstrating the company's robust financial management.
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Analyst Views on VIR
Wall Street analysts forecast VIR stock price to rise
6 Analyst Rating
6 Buy
0 Hold
0 Sell
Strong Buy
Current: 7.560
Low
12.00
Averages
15.60
High
24.00
Current: 7.560
Low
12.00
Averages
15.60
High
24.00
About VIR
Vir Biotechnology, Inc. is a clinical-stage biopharmaceutical company focused on powering the immune system to transform lives by discovering and developing medicines for serious infectious diseases and cancer. Its clinical-stage portfolio includes infectious disease programs for chronic hepatitis delta and chronic hepatitis B infections and multiple dual-masked T-cell engagers across validated targets in solid tumor indications. It also has a preclinical portfolio of programs across a range of infectious diseases and oncologic malignancies. Tobevibart is an investigational neutralizing monoclonal antibody (mAb) that has been engineered for immune engagement and targets a conserved region on the hepatitis B surface antigen (HBsAg). Elebsiran is an investigational HBV-targeted small interfering RNA (siRNA) that reduces HBsAg. Its pipeline includes VIR-5818, VIR-5500, VIR-5525, and HIV Cure. It also has rights to the PRO-XTEN masking platform for oncology and infectious disease.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Vir Biotechnology Partners with Astellas for VIR-5500 Development
- Strategic Collaboration: Vir Biotechnology has entered a global strategic collaboration with Astellas Pharma to co-develop VIR-5500, receiving $335 million in upfront and near-term payments, including $240 million in cash and a $75 million equity investment, reflecting strong market confidence.
- Clinical Data Update: Updated Phase 1 results for VIR-5500 in heavily pre-treated metastatic castration-resistant prostate cancer patients show a favorable safety profile, with 82% of patients achieving a 50% decline in PSA levels and 53% achieving a 90% decline, laying a solid foundation for further development.
- Future Development Plans: Vir plans to initiate dose-expansion cohorts and combination cohorts with enzalutamide in Q2 2026, with pivotal Phase 3 trials expected in 2027, further advancing the product's path to market.
- Strong Financial Position: As of the end of 2025, Vir had $781.6 million in cash and cash equivalents, and the collaboration with Astellas is expected to fund operations into Q2 2028, demonstrating the company's robust financial management.
See More
Vir Biotechnology Partners with Astellas for VIR-5500 Development
- Strategic Collaboration: Vir Biotechnology's partnership with Astellas, valued at $1.7 billion, aims to accelerate the development of VIR-5500 across prostate cancer stages, significantly enhancing the company's competitive position in the cancer immunotherapy market.
- R&D Cost Reduction: R&D expenses for 2025 were $456 million, a 10% decrease from $507 million in 2024, while SG&A expenses also fell from $119 million to $92 million, demonstrating effective cost control measures by the company.
- Cash Flow Outlook: Vir anticipates that, supported by the Astellas agreement, its cash runway will extend into the second quarter of 2028, enhancing financial flexibility for future R&D and market expansion.
- Clinical Data Validation: New Phase I data indicate that VIR-5500 has a compelling safety and efficacy profile, with management expressing confidence in its potential as a best-in-class T cell engager for prostate cancer, further validating the effectiveness of the PRO-XTEN platform.
See More
Vir Secures $335 Million Collaboration with Astellas for VIR-5500
- Collaboration Highlights: Vir's partnership with Astellas provides $335 million in upfront and near-term payments for the VIR-5500 project, including $240 million in cash and a $75 million equity investment, indicating strong market confidence and expected acceleration in prostate cancer treatment applications.
- Positive Clinical Data: In a study of 58 heavily pre-treated metastatic prostate cancer patients, VIR-5500 monotherapy demonstrated good tolerability, with 82% of evaluable patients showing over 50% PSA declines, laying a solid foundation for future dose expansion and registration trials anticipated in 2026 and 2027.
- Financial Performance Exceeds Expectations: Vir reported $64.1 million in revenue for Q4, significantly surpassing the market expectation of $19.9 million, primarily driven by a $64.3 million initial cost reimbursement from its hepatitis delta licensing deal with Norgine, showcasing the company's success in revenue diversification.
- Market Reaction Positive: Vir's stock surged nearly 60% in after-hours trading, reflecting investor optimism following the strong earnings report and collaboration agreement, although the stock fell 1.7% during regular trading, overall market sentiment remains 'extremely bullish'.
See More
Vir Biotechnology Reports Better-Than-Expected Quarterly Loss
- Earnings Surprise: Vir Biotechnology reported a quarterly loss of $0.31 per share, better than the Zacks consensus estimate of a $0.42 loss, indicating improvements in cost management despite ongoing challenges.
- Significant Revenue Growth: The company posted revenues of $64.07 million for the quarter, surpassing the Zacks consensus estimate by 243.23%, compared to $12.37 million a year ago, demonstrating positive progress in market demand recovery.
- Stock Performance: Since the beginning of the year, Vir Biotechnology's shares have risen approximately 25.4%, significantly outperforming the S&P 500's gain of 0.9%, reflecting investor confidence in the company's future growth potential.
- Future Outlook: Although the current EPS estimate stands at -$0.60 with revenues of $2.41 million, the industry rank is in the top 37% of over 250 Zacks industries, indicating a generally positive trend that may support stock performance.
See More
Vir Biotechnology (VIR) Earnings Call Transcript
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Vir Biotechnology Partners with Astellas for VIR-5500 Development
- Stock Surge: Vir Biotechnology's stock rose approximately 55% in after-hours trading, reflecting strong market optimism regarding its development and commercialization deal with Astellas Pharma for VIR-5500, indicating investor expectations for future profits.
- Substantial Upfront Payment: Astellas is set to pay $335 million in upfront and near-term milestone payments, which not only provides financial support for Vir but also strengthens its funding for subsequent research and development efforts.
- Significant Potential Earnings: Vir stands to gain up to $1.37 billion in development, regulatory, and sales milestone payments, along with tiered double-digit royalties on sales outside the US, which will significantly enhance the company's long-term profitability and market competitiveness.
- Positive Clinical Trial Results: Updated phase 1 monotherapy results indicate that VIR-5500 shows dose-dependent anti-tumor activity, with 82% PSA50 and 53% PSA90 declines, and a 45% objective response rate in 5 out of 11 patients at the ≥3,000 µg/kg dose, suggesting promising clinical prospects for treating metastatic castration-resistant prostate cancer.
See More
Vir Biotechnology Partners with Astellas for VIR-5500 Development
- Strategic Collaboration: Vir Biotechnology has entered a global strategic collaboration with Astellas Pharma to co-develop VIR-5500, receiving $335 million in upfront and near-term payments, including $240 million in cash and a $75 million equity investment, reflecting strong market confidence.
- Clinical Data Update: Updated Phase 1 results for VIR-5500 in heavily pre-treated metastatic castration-resistant prostate cancer patients show a favorable safety profile, with 82% of patients achieving a 50% decline in PSA levels and 53% achieving a 90% decline, laying a solid foundation for further development.
- Future Development Plans: Vir plans to initiate dose-expansion cohorts and combination cohorts with enzalutamide in Q2 2026, with pivotal Phase 3 trials expected in 2027, further advancing the product's path to market.
- Strong Financial Position: As of the end of 2025, Vir had $781.6 million in cash and cash equivalents, and the collaboration with Astellas is expected to fund operations into Q2 2028, demonstrating the company's robust financial management.
See More
Vir Biotechnology Partners with Astellas for VIR-5500 Development
- Strategic Collaboration: Vir Biotechnology's partnership with Astellas, valued at $1.7 billion, aims to accelerate the development of VIR-5500 across prostate cancer stages, significantly enhancing the company's competitive position in the cancer immunotherapy market.
- R&D Cost Reduction: R&D expenses for 2025 were $456 million, a 10% decrease from $507 million in 2024, while SG&A expenses also fell from $119 million to $92 million, demonstrating effective cost control measures by the company.
- Cash Flow Outlook: Vir anticipates that, supported by the Astellas agreement, its cash runway will extend into the second quarter of 2028, enhancing financial flexibility for future R&D and market expansion.
- Clinical Data Validation: New Phase I data indicate that VIR-5500 has a compelling safety and efficacy profile, with management expressing confidence in its potential as a best-in-class T cell engager for prostate cancer, further validating the effectiveness of the PRO-XTEN platform.
See More
Vir Secures $335 Million Collaboration with Astellas for VIR-5500
- Collaboration Highlights: Vir's partnership with Astellas provides $335 million in upfront and near-term payments for the VIR-5500 project, including $240 million in cash and a $75 million equity investment, indicating strong market confidence and expected acceleration in prostate cancer treatment applications.
- Positive Clinical Data: In a study of 58 heavily pre-treated metastatic prostate cancer patients, VIR-5500 monotherapy demonstrated good tolerability, with 82% of evaluable patients showing over 50% PSA declines, laying a solid foundation for future dose expansion and registration trials anticipated in 2026 and 2027.
- Financial Performance Exceeds Expectations: Vir reported $64.1 million in revenue for Q4, significantly surpassing the market expectation of $19.9 million, primarily driven by a $64.3 million initial cost reimbursement from its hepatitis delta licensing deal with Norgine, showcasing the company's success in revenue diversification.
- Market Reaction Positive: Vir's stock surged nearly 60% in after-hours trading, reflecting investor optimism following the strong earnings report and collaboration agreement, although the stock fell 1.7% during regular trading, overall market sentiment remains 'extremely bullish'.
See More
Vir Biotechnology Reports Better-Than-Expected Quarterly Loss
- Earnings Surprise: Vir Biotechnology reported a quarterly loss of $0.31 per share, better than the Zacks consensus estimate of a $0.42 loss, indicating improvements in cost management despite ongoing challenges.
- Significant Revenue Growth: The company posted revenues of $64.07 million for the quarter, surpassing the Zacks consensus estimate by 243.23%, compared to $12.37 million a year ago, demonstrating positive progress in market demand recovery.
- Stock Performance: Since the beginning of the year, Vir Biotechnology's shares have risen approximately 25.4%, significantly outperforming the S&P 500's gain of 0.9%, reflecting investor confidence in the company's future growth potential.
- Future Outlook: Although the current EPS estimate stands at -$0.60 with revenues of $2.41 million, the industry rank is in the top 37% of over 250 Zacks industries, indicating a generally positive trend that may support stock performance.
See More
Vir Biotechnology (VIR) Earnings Call Transcript
See More
Vir Biotechnology Partners with Astellas for VIR-5500 Development
- Stock Surge: Vir Biotechnology's stock rose approximately 55% in after-hours trading, reflecting strong market optimism regarding its development and commercialization deal with Astellas Pharma for VIR-5500, indicating investor expectations for future profits.
- Substantial Upfront Payment: Astellas is set to pay $335 million in upfront and near-term milestone payments, which not only provides financial support for Vir but also strengthens its funding for subsequent research and development efforts.
- Significant Potential Earnings: Vir stands to gain up to $1.37 billion in development, regulatory, and sales milestone payments, along with tiered double-digit royalties on sales outside the US, which will significantly enhance the company's long-term profitability and market competitiveness.
- Positive Clinical Trial Results: Updated phase 1 monotherapy results indicate that VIR-5500 shows dose-dependent anti-tumor activity, with 82% PSA50 and 53% PSA90 declines, and a 45% objective response rate in 5 out of 11 patients at the ≥3,000 µg/kg dose, suggesting promising clinical prospects for treating metastatic castration-resistant prostate cancer.
See More
