De­vel­op­ing a Sanofi cast-off, Im­pact Bio­med­i­cines now sub­ject of $7B Cel­gene ac­qui­si­tion deal

A start­up de­vel­op­ing the once-dis­card­ed fe­dra­tinib, a drug cast off from Sanofi due to safe­ty con­cerns back in 2013, is now the sub­ject of a $7 bil­lion ac­qui­si­tion deal by Cel­gene.

John Hood

The tiny San Diego com­pa­ny at the cen­ter of the deal is Im­pact Bio­med­i­cines, found­ed by John Hood, the ex-co-founder and CSO of re­gen­er­a­tive med­i­cines com­pa­ny Sa­mumed. Be­fore his stint at Sa­mumed, Hood had been the co-in­ven­tor of fe­dra­tinib while re­search chief at Targe­Gen. Then Sanofi scooped up the mid-stage JAK2 myelofi­bro­sis drug with big plans to make it the cen­ter­piece of their new­ly re­vived on­col­o­gy ef­fort and Hood went on to Sa­mumed.

Fe­dra­tinib was a flop for Sanofi. Pa­tients be­gan to de­vel­op a dan­ger­ous neu­ro­log­i­cal con­di­tion tied to vi­t­a­min B de­fi­cien­cy called Wer­nicke’s en­cephalopa­thy. As a re­sult, the FDA put a clin­i­cal hold on it in 2013 and the phar­ma gi­ant ul­ti­mate­ly shelved the ef­fort and lat­er gut­ted its can­cer group.

Last fall, Hood got the ex­per­i­men­tal drug back, with the hold lift­ed. To start, he raised $22 mil­lion from Medicxi to build the com­pa­ny. Tak­ing the da­ta from a piv­otal tri­al, he planned to con­vince reg­u­la­tors that pa­tients can be pro­tect­ed from the lethal side ef­fect. He re­cent­ly added a $90 mil­lion round to help with mar­ket launch.

Now, first re­port­ed by the Wall Street Jour­nal, Hood’s com­pa­ny will be ac­quired by Cel­gene. Cel­gene lat­er con­firmed the sto­ry Sun­day af­ter­noon in a press re­lease.

The first stage in­cludes a $1.1 bil­lion up­front pay­ment, with $1.25 bil­lion tied to reg­u­la­to­ry ap­provals on myelofi­bro­sis and much of the rest for suc­cess­ful com­mer­cial­iza­tion.  The max­i­mum amount payable for reg­u­la­to­ry ap­proval mile­stones is $1.4 bil­lion for myelofi­bro­sis and oth­er in­di­ca­tions. Start­ing from glob­al an­nu­al net sales of $1.0 bil­lion, ag­gre­gate tiered sales-based mile­stone pay­ments could to­tal $4.5 bil­lion if glob­al an­nu­al net sales ex­ceed $5 bil­lion.

Hood was shoot­ing for a quick turn­around at the FDA, look­ing to lever­age the ex­ist­ing piv­otal da­ta with new safe­ty in­fo to set up a quick ap­proval. Cel­gene will now be hus­tling ahead with that plan in place, leav­ing Sanofi with noth­ing but a stake in Hood’s com­pa­ny to com­pen­sate it.

“Myelofi­bro­sis is a dis­ease with high un­met med­ical need as the num­ber of pa­tients who are in­el­i­gi­ble for or be­come re­sis­tant to ex­ist­ing ther­a­py con­tin­ues to in­crease,” said Nadim Ahmed, pres­i­dent of hema­tol­ogy and on­col­o­gy at Cel­gene, in a state­ment. “We be­lieve fe­dra­tinib is unique­ly po­si­tioned as a po­ten­tial treat­ment for myelofi­bro­sis and it pro­vides strate­gic op­tions for us to build lead­er­ship in this dis­ease with lus­pa­ter­cept and oth­er pipeline as­sets.”

George Scangos (L) and Marianne De Backer

Pi­o­neer­ing biotech icon George Scan­gos hands in his re­tire­ment pa­pers — and this time it’s for re­al

George Scangos, one of the all-time great biotech CEOs, says the time has come to turn over the reins one last time.

The 74-year-old biotech legend spent close to three decades in a CEO post. The first was at Exelixis — which is still heavily focused on a drug Scangos advanced in the clinic. The second “retirement” was at Biogen, where he and his team were credited with a big turnaround with the now fading MS blockbuster Tecfidera. And the third comes at Vir, where he traded in his Big Biotech credentials for a marquee founder’s role back on the West Coast, hammering out a Covid-19 alliance with Hal Barron — then R&D chief at GSK — and breaking new ground on infectious diseases with some high-powered venture players.

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Jeanne Loring, director of the Center for Regenerative Medicine (Credit: Jamie Scott Lytle)

A stem cell pi­o­neer sent an ex­per­i­ment in­to space. Pa­tients are the next fron­tier

Last July, Jeanne Loring stood on a dirt road surrounded by Florida swampland and watched as a nearby SpaceX rocket blasted into the sky. The payload included a very personal belonging: cell clusters mimicking parts of her brain.

For more than two decades, Loring has been at the forefront of a stem cell field that always seems on the brink of becoming the next thing in medicine, but has been slow to lift off.

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FDA re­ports ini­tial 'no sig­nal' for stroke risk with Pfiz­er boost­ers, launch­es con­comi­tant flu shot study

The FDA hasn’t detected any potential safety signals, including for stroke, in people aged 65 years and older who have received Pfizer’s bivalent Covid booster, one senior official told members of the agency’s Vaccines and Related Biological Products Advisory Committee (VRBPAC) on Thursday.

The update comes as the FDA and CDC investigate a “preliminary signal” that may indicate an increased risk of ischemic stroke in older Americans who received Pfizer’s updated shot.

FDA cuts off use for As­traZeneca’s Covid-19 ther­a­py Evusheld

The FDA has stopped use of another drug as a result of the new coronavirus variants. On Thursday, the agency announced that AstraZeneca’s antibody combo Evusheld, which was an important prevention option for many immunocompromised people and others, is no longer authorized.

The FDA said it made its decision based on the fact that Evusheld works on fewer than 10% of circulating variants.

Evusheld was initially given emergency authorization at the end of 2021. However, as Omicron emerged, so did studies that showed Evusheld might not work against the dominant Omicron strain. In October, the FDA warned healthcare providers that Evusheld was useless against the Omicron subvariant BA.4.6. It followed that up with another announcement earlier this month that it did not think Evusheld would work against the latest Omicron subvariant XBB.1.5.

In­vestor 'misalign­men­t' leads to tR­NA biotech's shut­ter­ing

A small biotech looking to carve a lane in the tRNA field has folded, an investor and a co-founder confirmed to Endpoints News.

Similar to Flagship’s Alltrna and other upstarts like Takeda-backed hC Bioscience, the now-shuttered Theonys was attempting to go after transfer RNA, seen as a potential Swiss Army knife in the broader RNA therapeutics space. The idea is that one tRNA drug could be used across a galaxy of disorders and diseases.

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#JPM23: What's re­al­ly dri­ving the cost of health­care and drugs in 2023?

Executive Editor Drew Armstrong spoke with PhRMA CEO Steve Ubl, EmsanaRx CEO Greg Baker and ICER President Steve Pearson about how the debate over drug costs has changed (or not) in the last decade, the shifting payer landscape and why there seems to be so little movement on drug rebates. This transcript has been edited for brevity and clarity.

Drew Armstrong:

So first of all, thank you to everybody for being here and for our panel for being here. Incredibly excited to have this discussion on the cost of healthcare and drugs and what’s driving that. We’re here with Steve Ubl, the head of PhRMA. Thank you so much. Steve Pearson from ICER, and Greg Baker from EmsanaRx. I want to start this conversation with a little bit of a personal reminiscence. So about almost 10 years exactly. I was a reporter back in my previous job and I was covering drug pricing and Gilead had just launched their hepatitis C drug and I was having a conversation with another Steve over at Express Scripts and he made some comments essentially about how they intended to launch a price war over hepatitis C therapies.

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Pa­tient death spurs tri­al halt for Ma­gen­ta Ther­a­peu­tics

Magenta Therapeutics is pausing an early-stage clinical trial after a patient died. The death was deemed to be possibly related to its drug, MGTA-117.

The biotech said the pause of the Phase I/II trial is voluntary and gives it time to review all available data before deciding what to do next. It’s also reported the known information to the FDA.

The dose-escalation trial was designed to test whether MGTA-117, an antibody-drug conjugate, could serve as a more targeted alternative to high-intensity chemotherapy as a conditioning agent for cancer patients who are set to receive a stem cell transplant. It recruited patients with relapsed/refractory acute myeloid leukemia and myelodysplastic syndrome.

In a win for Re­gen­eron, No­var­tis' sy­ringe for AMD drug de­clared 'un­patentable'

Regeneron has won a patent case against Swiss pharma giant Novartis over the delivery system for its eye drug Eylea.

The US Patent Trial and Appeal Board ruled that Novartis’ pre-filled syringe for injecting its eye medication Lucentis was “unpatentable” and handed the victory to Regeneron and its AMD drug Eylea.

In the initial complaint in 2020, Novartis alleged to the US International Trade Commission that certain pre-filled syringes for the intravitreal injection, and ultimately Regeneron’s delivery system for Eylea, were infringing on Novartis’ patent. Regeneron filed a petition to review Novartis’ claims in 2021.

'Tis the sea­son: GSK ad­dress­es win­ter virus surges with celebri­ty and in­flu­encer vac­cine aware­ness cam­paigns

GSK is rounding up the usual suspects this winter — flu, respiratory syncytial and even shingles viruses — for multiple marketing efforts all aimed at encouraging vaccinations.

Mom influencers take center stage in its “Flu is a Family Affair” campaign to reach family decision-makers or “chief health officers.” GSK is asking them in the digital campaign to take care of themselves, and take the family along, when they go to the pharmacy or doctor’s office for a flu vaccine.

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