The collaboration is aimed at advancing a portfolio consisting of programs with new mechanisms of action targeting immune checkpoint pathways, co-stimulatory signals and regulatory T cells.
As part of the deal, Potenza will lead drug discovery activities and deliver development candidates to Astellas, which will be responsible for clinical development activities and commercialization.
Astellas senior vice-president and chief strategy officer Kenji Yasukawa said: "Despite the recent clinical success of checkpoint-blocking monoclonal antibodies targeting PD-1, PD-L1 and CTLA-4, there still remains significant unmet medical need in non-responder patients and unresponsive tumor types."
Potenza co-founder and chief executive officer Daniel Hicklin said: "We are at the beginning of a new era in cancer therapy. First generation immuno-oncology therapeutics have demonstrated meaningful clinical benefit to patients with certain cancers.
"The new targets and pathways that Potenza is working on offer promise for continued expansion of immunotherapy treatment options."
The deal includes an option that allows for the future acquisition of Potenza by Astellas on pre-determined terms at the end of the collaboration period.