Request ConsultationPD 1 VEGF therapies are gaining major pharmaceutical interest by combining immune checkpoint blocking with VEGF inhibition in one treatment. Large deals from AstraZeneca, Pfizer, AbbVie, and Merck show the growing race to secure next generation cancer therapies.
The global oncology market is entering another major phase of innovation. After years of rapid growth around immune checkpoint inhibitors, antibody-drug conjugates, and targeted therapies, pharmaceutical companies are increasingly searching for approaches that can attack cancer through multiple biological mechanisms at the same time.
One of the most closely watched strategies is the development of PD-1/VEGF bispecific antibodies.
These therapies are attracting significant pharmaceutical investment because they combine two established approaches to cancer treatment in a single molecule. PD-1 blockade is designed to reactivate the immune system against cancer, while VEGF inhibitors aim to restrict the blood vessel formation that tumors use to grow and survive.
The investment momentum because particularly visible in September 2026, when AstraZeneca announced a USD 2 billion equity investment in Summit Therapeutics to accelerate development of ivonescimab, a potential first-in-class PD-1/VEGF bispecific antibody. The deal also includes collaborations to test ivonescimab with antibody-drug conjugates across multiple tumor types.
The development is part of a much larger industry trend.
Pfizer licensed the global ex-China rights to another PD-1/VEGF bispecific from 3SBio in a deal that included a USD 1.25 billion upfront payment and up to USD 4.8 billion in potential milestones. AbbVie later entered the field through a USD 650 million upfront deal with RemeGen, with potential milestone payments reaching USD 4.95 billion. Merck also licensed LM-299 from LaNova Medicines for an upfront payment of USD 588 million and potential milestones of up to USD 2.7 billion.
These transactions explain why PD-1/VEGF therapies are becoming one of the most financially important areas in next-generation oncology.
What Are PD-1/VEGF Therapies?
PD-1/VEGF therapies are designed to target two important biological pathways involved in cancer progression.
PD-1, or programmed cell death protein 1, is an immune checkpoint. Cancer cells can exploit the PD-1 pathway to reduce immune-cell activity and avoid destruction by the body's immune system.
Blocking PD-1 can therefore help restore T-cell activity against tumor cells. This mechanism has already transformed modern cancer treatment through medicines such as pembrolizumab.
VEGF, or vascular endothelial growth factor, plays a major role in angiogenesis, the process through which new blood vessels form. Tumors can stimulate blood-vessel growth to obtain oxygen and nutrients needed for continued expansion.
Blocking VEGF can interfere with this tumor-supporting environment.
PD-1/VEGF bispecific antibodies attempt to bring these two mechanisms together in one therapeutic molecule.
The concept is therefore:
PD-1 blockade + VEGF inhibition = immune activation + tumor-vessel suppression
This multi-mechanism approach is one of the main reasons pharmaceutical companies believe the class could potentially offer an advantage over conventional single-pathway therapies.
Why is Pharma Investing So Heavily?
The pharmaceutical industry has a strong commercial reason to search for the next major oncology platform.
Pembrolizumab has become one of the most successful cancer medicines in the world, demonstrating the enormous commercial potential of immune checkpoint inhibition.However, the success of established PD-1 therapies also creates a challenge.
Companies need differentiated therapies that can improve outcomes, expand into additional cancer types, or become the backbone of combination treatment.PD-1/VEGF bispecifics offer one potential solution.
Rather than simply developing another PD-1 inhibitor, companies are attempting to create a molecule that combines immune checkpoint blockade with an additional anti-cancer mechanism.
This could provide a new competitive position in an oncology market where pharmaceutical companies are searching for treatments capable of improving upon established standards of care.
The financial activity surrounding the class suggests that major pharmaceutical companies are willing to pay billions to secure access to promising assets.
AstraZeneca’s USD 2 Billion Bet on Ivonescimab
The latest major signal came from AstraZeneca.
The company agreed to invest USD 2 billion in Summit Therapeutics, acquiring exposure to ivonescimab, a bispecific antibody targeting both PD-1 and VEGF. AstraZeneca and Summit also plan to investigate ivonescimab in combination with AstraZeneca's antibody-drug conjugates across several tumor types.
The strategy is particularly interesting because AstraZeneca already has a major oncology portfolio.
Rather than treating ivonescimab as a standalone asset, the company is exploring it as a potential foundation for combination strategies.
The first collaboration includes sonesitatug vedotin, an investigational Claudin-18.2-targeting ADC, in gastrointestinal cancers. The companies also intend to evaluate ivonescimab with additional AstraZeneca cancer medicines, including other ADCs.
This means the commercial opportunity could extend beyond one drug.
If the combination strategy works, a PD-1/VEGF therapy could potentially become a platform around which several oncology medicines are developed.
Clinical Results Are Driving the Interest
Investment in PD-1/VEGF therapies is not based only on theoretical biology.
Clinical data are also increasing interest in the class.
Ivonescimab has generated notable results in non-small cell lung cancer. In the Phase 3 HARMONi-2 trial, ivonescimab demonstrated a statistically significant overall-survival advantage compared with pembrolizumab in patients with PD-L1-positive advanced NSCLC.
Updated data presented in September 2026 showed median overall survival of approximately 30.8 months with ivonescimab compared with 22.6 months with pembrolizumab. The overall-survival hazard ratio was 0.73.
The trial had previously demonstrated a progression-free survival advantage. Median progression-free survival was 11.1 months with ivonescimab compared with 5.8 months with pembrolizumab, corresponding to a hazard ratio of 0.51.
These results are important because pembrolizumab represents an established immunotherapy benchmark.
A new therapy does not necessarily need to replace every existing PD-1 treatment. Demonstrating meaningful improvement against an established standard can nevertheless create substantial commercial and clinical interest.
The Pfizer Deal Shows the Global Race
AstraZeneca is not the only major pharmaceutical company pursuing this opportunity.
In 2025, Pfizer entered an exclusive global ex-China licensing agreement with 3SBio for SSGJ-707, a PD-1/VEGF bispecific antibody.
The agreement included a USD 1.25 billion upfront payment, potential milestone payments of up to USD 4.8 billion, and tiered double-digit royalties on sales if the medicine is successfully commercialised. Pfizer also agreed to make a USD 100 million equity investment in 3SBio.
The transaction demonstrates how valuable differentiated oncology assets can become before regulatory approval.
Pfizer also planned to advance the therapy through global development and investigate it across multiple cancers.
This reflects a broader shift in pharmaceutical strategy.
Instead of waiting for late-stage assets to emerge entirely from internal research, large companies are increasingly acquiring or licensing promising therapies developed by biotechnology companies.
AbbVie Enters the PD-1/VEGF Race
AbbVie has also made a major move into the field.
In January 2026, AbbVie licensed ex-Greater China rights to RC148 from RemeGen.
The deal included a USD 650 million upfront payment and potential development, regulatory, and commercial milestones of up to USD 4.95 billion, along with tiered double-digit royalties on net sales outside Greater China.
RC148 is designed to inhibit both PD-1 and VEGF.
AbbVie is particularly interested in combining the therapy with antibody-drug conjugates. The rationale is that PD-1 blockade and VEGF inhibition could create a more favorable tumor environment while an ADC provides targeted cytotoxic activity.
This creates a three-part treatment strategy:
Immune activation + anti-angiogenesis + targeted tumor killing
Such combinations could become an important direction in solid-tumor treatment.
Merck is Also Building a Position
Merck has another important position in the class.
In 2024, Merck entered into an exclusive global license for LM-299 from LaNova Medicines. The therapy is an investigational PD-1/VEGF bispecific antibody.
Merck paid an upfront amount of USD 588 million and LaNova became eligible for up to USD 2.7 billion in additional milestones tied to technology transfer, development, regulatory approval, and commercialization.
The deal is particularly significant because Merck's oncology franchise is heavily associated with Keytruda, one of the world's leading PD-1 therapies.
Developing or acquiring differentiated next-generation immunotherapies could help Merck prepare for the future of the oncology market.
Why Combine PD-1 and VEGF?
The biological rationale is one of the strongest reasons for investor interest.
Cancer is not controlled by a single biological process.
Tumors can suppress immune responses, modify their surrounding environment, stimulate blood-vessel formation, and develop mechanisms that allow them to survive treatment.PD-1 inhibition primarily addresses immune suppression.
VEGF inhibition addresses tumor angiogenesis and can also influence the tumor microenvironment.
Combining these mechanisms could potentially produce complementary effects.
The goal is not simply to make a stronger PD-1 inhibitor.
Instead, the strategy attempts to address multiple components of tumor biology simultaneously.
This is similar to the broader movement across oncology toward multi-mechanism treatment.
The Rise of Bispecific Antibodies
PD-1/VEGF investment is also part of the broader growth of bispecific antibody technology.
Traditional monoclonal antibodies generally target one antigen or pathway.
Bispecific antibodies are designed to recognize two different targets.
This provides pharmaceutical companies with greater flexibility when developing therapies that require simultaneous biological activity.
In oncology, bispecifics are already being investigated across several mechanisms, including immune-cell engagement, tumor targeting, immune checkpoint inhibition, and angiogenesis.
The success of PD-1/VEGF molecules could therefore validate a much larger technology platform.
Combination With ADCs Could Expand the Opportunity
One of the most important developments is the growing connection between PD-1/VEGF therapies and antibody-drug conjugates.
ADCs are designed to deliver cytotoxic payloads directly to cancer cells using targeted antibodies.
They have become one of the fastest-growing areas of oncology research.
A PD-1/VEGF bispecific could potentially modify the tumor environment and improve immune activity while an ADC directly attacks cancer cells.
AstraZeneca's collaboration with Summit is built around this concept. The companies plan to combine ivonescimab with ADCs across multiple tumor types.
AbbVie is pursuing a similar combination strategy with RC148.
This could make PD-1/VEGF therapies valuable not only as individual medicines but also as combination backbones.
Lung Cancer is a Major Testing Ground
Non-small cell lung cancer has become one of the most important areas for PD-1/VEGF development.
The disease has already demonstrated the value of immunotherapy, making it an appropriate setting for testing whether a next-generation immune approach can outperform established treatment.
Ivonescimab is being evaluated in multiple lung-cancer settings, including EGFR-mutated NSCLC. Its global Phase 3 program has also generated survival data across Asian and Western patient populations.
The ability to demonstrate consistent results across different populations will be important for regulatory approval and commercial adoption.
The Opportunity Extends Beyond One Cancer
Another reason investors are interested is the possibility of applying PD-1/VEGF therapies across multiple tumor types.
Ivonescimab is being studied in NSCLC, small-cell lung cancer, biliary tract cancer, bladder cancer, triple-negative breast cancer, head and neck cancer, colorectal cancer, and pancreatic cancer.
A therapy that demonstrates meaningful activity across several cancers could support a large commercial opportunity.
For pharmaceutical companies, this creates the potential for multiple indications from one core technology.
That can significantly increase the value of a successful oncology asset.
China is Becoming a Major Source of Oncology Innovation
An important feature of the current PD-1/VEGF investment wave is the role of Chinese biotechnology companies.
Many of the assets attracting global pharmaceutical interest originated in China.
3SBio, RemeGen, LaNova, and Akeso are examples of companies developing innovative oncology assets that have attracted international partnerships.
This demonstrates a broader shift in the global pharmaceutical landscape.
Large pharmaceutical companies are increasingly looking beyond traditional research centres in the United States and Europe to identify innovative drug candidates.China's growing biotechnology ecosystem has created a larger pool of assets that can potentially be licensed globally.
For global pharma, licensing these therapies can sometimes provide access to promising science without requiring the cost and time of discovering the molecule internally.
The Commercial Opportunity Is Driving Competition
The pharmaceutical industry's interest is ultimately linked to the enormous commercial value of successful oncology therapies.
A medicine that becomes a standard treatment across several cancer indications can generate billions of dollars in annual revenue.
This creates strong incentives for companies to secure promising assets early.
The PD-1/VEGF deals demonstrate this clearly.
Merck's LM-299 deal, Pfizer's SSGJ-707 agreement, AbbVie's RC148 collaboration, and AstraZeneca's USD 2 billion Summit investment collectively show that major pharmaceutical companies are willing to commit substantial capital to this therapeutic class.
However, these investments should not be interpreted as guarantees of success.
All investigational medicines face clinical, regulatory, safety, manufacturing, and commercial risks.
Key Challenges Ahead
Despite the investment momentum, PD-1/VEGF therapies face several challenges.
Clinical validation: Positive results in one cancer or patient population do not guarantee success across other indications.
Long-term safety: Combining two biological mechanisms in one molecule requires careful evaluation of adverse events and treatment durability.
Regulatory approval: Promising Phase 2 or early Phase 3 data must ultimately translate into successful regulatory submissions.
Competitive pressure: Companies are simultaneously developing ADCs, bispecifics, cell therapies, next-generation checkpoint inhibitors, and other immunotherapies.
Treatment combinations: Determining which ADC, chemotherapy, targeted therapy, or immunotherapy should be combined with a PD-1/VEGF therapy may require extensive clinical testing.
Manufacturing: Bispecific antibodies can be technically complex to manufacture consistently at commercial scale.
These factors will determine whether the billions invested in the class ultimately translate into successful medicines.
The Strategic Battle for the Next Generation of Immunotherapy
The oncology industry is moving beyond the question of whether checkpoint inhibitors work.
The next question is how their benefits can be extended.
PD-1/VEGF therapies represent one potential answer.
The development pathway can be viewed as:
Single checkpoint blockade - Multi-pathway immunotherapy - Bispecific antibodies - Multi-drug combination platformsPD-1/VEGF therapies could occupy an important position in this evolution because they combine two biologically validated mechanisms in one molecule.
If clinical trials continue to demonstrate meaningful improvements, the class could become a major competitor to conventional PD-1-based treatment.
What Could the Future Look Like?
The future of oncology treatment could increasingly rely on carefully designed combinations.
A patient may receive an immune checkpoint inhibitor or bispecific antibody to activate the immune response, an ADC to deliver a targeted cytotoxic payload, and potentially another therapy directed at a tumor-specific mutation.
PD-1/VEGF therapies could become part of this increasingly sophisticated treatment environment.
Their biggest opportunity may therefore not be replacing every existing immunotherapy.
Instead, their role could be to provide a new therapeutic foundation for combination treatment.
This is precisely why AstraZeneca's USD 2 billion investment is strategically important.
The company is not only investing in a single molecule. It is exploring whether ivonescimab can become a platform for combinations with its broader oncology portfolio.
Conclusion
PD-1/VEGF therapies are attracting billions of dollars in pharmaceutical investment because they sit at the intersection of several major oncology trends: immune checkpoint inhibition, angiogenesis control, bispecific antibody technology, and combination treatment.
The recent wave of transactions provides strong evidence of pharmaceutical interest.
AstraZeneca's USD 2 billion investment in Summit Therapeutics, Pfizer's USD 1.25 billion upfront payment for SSGJ-707, AbbVie's USD 650 million upfront payment for RC148, and Merck's USD 588 million upfront payment for LM-299 demonstrate the financial importance that major pharmaceutical companies are placing on this class.The scientific rationale is equally compelling.
By combining PD-1 immune checkpoint blockade with VEGF inhibition, these therapies aim to attack cancer through complementary mechanisms. Early and later-stage clinical results, particularly with ivonescimab in lung cancer, have increased confidence that the approach deserves large-scale development.
At the same time, PD-1/VEGF therapies remain an evolving field. Not every candidate will succeed, and strong clinical validation across different cancer types will be essential.Nevertheless, the investment trend is clear.
The next major oncology competition may not be about finding another conventional checkpoint inhibitor.
It may be about creating smarter multi-target therapies that combine immune activation, tumor-environment modification, and targeted cancer-cell destruction.With major pharmaceutical companies competing for access to PD-1/VEGF assets, the class could become one of the defining battlegrounds in next-generation cancer drug development.
The future of oncology may therefore not be about choosing between immunotherapy and targeted treatment.
It may increasingly be about combining the strengths of both in a single therapeutic strategy.
About the Authors
Aditi Shivarkar
Aditi, Vice President at Precedence Research, brings over 15 years of expertise at the intersection of technology, innovation, and strategic market intelligence. A visionary leader, she excels in transforming complex data into actionable insights that empower businesses to thrive in dynamic markets. Her leadership combines analytical precision with forward-thinking strategy, driving measurable growth, competitive advantage, and lasting impact across industries.
Aman Singh
Aman Singh with over 13 years of progressive expertise at the intersection of technology, innovation, and strategic market intelligence, Aman Singh stands as a leading authority in global research and consulting. Renowned for his ability to decode complex technological transformations, he provides forward-looking insights that drive strategic decision-making. At Precedence Research, Aman leads a global team of analysts, fostering a culture of research excellence, analytical precision, and visionary thinking.
Piyush Pawar
Piyush Pawar brings over a decade of experience as Senior Manager, Sales & Business Growth, acting as the essential liaison between clients and our research authors. He translates sophisticated insights into practical strategies, ensuring client objectives are met with precision. Piyush’s expertise in market dynamics, relationship management, and strategic execution enables organizations to leverage intelligence effectively, achieving operational excellence, innovation, and sustained growth.