AstraZeneca will invest $2 billion in US biotech firm Summit Therapeutics, deepening its bet on cancer drugs.

The deal, announced on September 29, gives AstraZeneca about 109,000 preferred shares at $18.36 each, representing roughly a 12 per cent stake. Summit’s shares jumped 23 per cent on the news.

The investment centres on ivonescimab, a PD-1/VEGF bispecific antibody that has shown promise in lung cancer trials. AstraZeneca will also work with Summit on sonesitatug vedotin for gastrointestinal cancers.

The partnership gives AstraZeneca access to one of the most watched drug candidates in oncology. Ivonescimab has drawn attention after strong trial results in China.

For Summit, the funding provides resources to run global trials and build commercial capabilities. The deal is the latest in a wave of pharma investments in bispecific antibodies, which analysts see as the next frontier in cancer treatment. Both companies said the collaboration could reshape treatment options for hard-to-treat cancers.