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China Approves Adagene's IND for ADG138 Cancer Drug

Adagene cleared to launch Phase 1 trials of its ADG138 bispecific in China, with dosing planned for late 2026 in advanced solid tumors.

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Sophie Laurent · FX & Rates Desk · 22 Sept 2026 · 18:48 · 1 min read
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China Approves Adagene's IND for ADG138 Cancer Drug

China’s National Medical Products Administration has approved an investigational new drug application for Adagene’s ADG138, a double-masked HER2×CD3 bispecific T-cell engager targeting advanced solid tumors.

The clearance permits an open-label clinical study to evaluate safety and preliminary efficacy in patients with advanced solid tumors and to establish the recommended dose for a Phase 2 trial.

Adagene plans to initiate the Phase 1 study in the fourth quarter of 2026, the company said.

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ADG138 leverages Adagene’s SAFEbody precision masking technology, which applies masking peptides to both the HER2 and CD3 binding sites to keep the molecule inactive until it reaches the tumor microenvironment, reducing off-target engagement.

Preclinical data presented at the American Association for Cancer Research Annual Meeting in 2022 showed the candidate achieved approximately 220-fold and greater than 1,000-fold reductions in binding to HER2 and CD3, respectively, compared with an unmasked version. ADG138 was tolerated at doses over 300-fold higher than an unmasked T-cell engager, the company noted.

In tumor models, ADG138 drove regression in both HER2-high and HER2-low cancers, including a model refractory or resistant to Enhertu (DS-8201). The candidate also demonstrated synergistic anti-tumor activity when combined with anti-CTLA-4, anti-PD-1, or anti-CD137 antibodies, alongside reduced cytokine release and a longer apparent half-life relative to its parental molecule.

The approval advances Adagene’s bispecific pipeline as it continues development of its lead candidate muzastotug (ADG126), currently in Phase 1b/2 and Phase 2 studies in combination with anti-PD-1 therapy for microsatellite stable metastatic colorectal cancer. Shares of Adagene, listed on NASDAQ under ADAG, will be watched for investor reaction to the China filing milestone.

This article was produced with AI assistance and edited by a Finance Review Daily journalist.
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Written by
Sophie Laurent
FX & Rates Desk

Sophie covers currency markets and central bank policy across Europe, with a focus on how rate decisions ripple through FX pairs. She has been tracking the ECB's policy path since the start of the current easing cycle.

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