Doug Williams ups the ante at Co­di­ak Bio to $168.5M in a dri­ve to first hu­man study

When Doug Williams ex­it­ed his role as R&D chief at Bio­gen a cou­ple of years ago to run his own start­up, he made the leap based on the promise that some of the ven­ture play­ers in biotech were buy­ing in­to a whole new ap­proach to com­pa­ny cre­ation.

Shoe­string bud­gets were be­ing re­placed with com­pa­ny launch plans that dwarfed the old VC mod­el. And a tra­di­tion­al fo­cus on one or two as­sets shift­ed to a com­mit­ment to pricey pipeline con­struc­tion.

“For me,” Williams tells me, “part of what was the rea­son to coax me out of a pret­ty good day job at Bio­gen was not on­ly the in­ter­est around tech­nol­o­gy ma­tur­ing to where it looked like a plat­form tech­nol­o­gy, but hav­ing suf­fi­cient funds to keep your head down to make it work, with­out a need to im­me­di­ate­ly raise small tranch­es.”

Says Williams: “It is the new mod­el.”

That “new mod­el” in ven­ture in­vest­ing just de­liv­ered a $76.5 mil­lion round for Co­di­ak Bio­Sciences, bring­ing Williams’ to­tal raise to $168.5 mil­lion in two years.

Not sur­pris­ing­ly, the syn­di­cate be­hind Co­di­ak in­cludes Arch and Flag­ship, which have been seed­ing a grow­ing slate of these en­ter­prise class up­starts. In this case, Williams is now bankrolled in­to 2020 as he moves his first pro­gram to an IND in about a year as he starts to bring his head up in a high-stakes move to the clin­ic.

The plat­form that Williams and his staff of 48 are build­ing — a struc­ture de­signed to de­liv­er mul­ti­ple ther­a­peu­tics for it­self and the in­dus­try part­ners that he wants to bring on board now — fo­cus­es on the sci­en­tif­ic un­der­stand­ing the com­pa­ny’s in­tel­lec­tu­al founders formed of the way the hu­man body re­lies on ex­o­somes as a kind of cel­lu­lar freight ser­vice, car­ry­ing pay­loads of nu­cle­ic acids, pro­teins, small mol­e­cules and more through the var­i­ous road­blocks your body us­es to check the spread of threat­en­ing sub­stances.

By hi­jack­ing the sys­tem, Co­di­ak is look­ing to cre­ate a whole new way to drug the cur­rent­ly un­drug­gable. And their first ef­fort will be to jump on board these nanopar­ti­cles with an siR­NA tar­get­ing KRAS that has shown promise in a va­ri­ety of mod­els for pan­cre­at­ic can­cer.

Not long af­ter the com­pa­ny launch, Williams brought in Jan Löt­vall from Göte­borg Uni­ver­si­ty as chief sci­en­tist. It was Löt­vall who did some of the pi­o­neer­ing lab work — along with re­search at MD An­der­son — that demon­strat­ed a decade ago how ex­o­somes could trans­fer nu­cle­ic acids be­tween cells.

“It got peo­ple to re­think how they might be use­ful to de­liv­er com­plex pay­loads,” says Williams, who was one of the first in a group of Bio­gen ex­ecs like CEO George Scan­gos (Vir) and Steve Holtz­man (Deci­bel) to jump ship and head back in­to the biotech are­na to start their own com­pa­nies.

Now he has the mon­ey to see if it can work in hu­mans the way the sci­ence sug­gests it can. In ad­di­tion to Flag­ship and Arch, the syn­di­cate be­hind Co­di­ak in­cludes Fi­deli­ty Man­age­ment and Re­search Com­pa­ny, the Alas­ka Per­ma­nent Fund and Alexan­dria Ven­ture In­vest­ments, with new in­vestors in­clud­ing Qatar In­vest­ment Au­thor­i­ty, Box­er Cap­i­tal of the Tavi­s­tock Group, Sirona Cap­i­tal, EcoR1 Cap­i­tal, and Cas­din Cap­i­tal.

ZS Per­spec­tive: 3 Pre­dic­tions on the Fu­ture of Cell & Gene Ther­a­pies

The field of cell and gene therapies (C&GTs) has seen a renaissance, with first generation commercial therapies such as Kymriah, Yescarta, and Luxturna laying the groundwork for an incoming wave of potentially transformative C&GTs that aim to address diverse disease areas. With this renaissance comes several potential opportunities, of which we discuss three predictions below.

Allogenic Natural Killer (NK) Cells have the potential to displace current Cell Therapies in oncology if proven durable.

Despite being early in development, Allogenic NKs are proving to be an attractive new treatment paradigm in oncology. The question of durability of response with allogenic therapies is still an unknown. Fate Therapeutics’ recent phase 1 data for FT516 showed relatively quicker relapses vs already approved autologous CAR-Ts. However, other manufacturers, like Allogene for their allogenic CAR-T therapy ALLO-501A, are exploring novel lymphodepletion approaches to improve persistence of allogenic cells. Nevertheless, allogenic NKs demonstrate a strong value proposition relative to their T cell counterparts due to comparable response rates (so far) combined with the added advantage of a significantly safer AE profile. Specifically, little to no risk of graft versus host disease (GvHD), cytotoxic release syndrome (CRS), and neurotoxicity (NT) have been seen so far with allogenic NK cells (Fig. 1). In addition, being able to harness an allogenic cell source gives way to operational advantages as “off-the-shelf” products provide improved turnaround time (TAT), scalability, and potentially reduced cost. NKs are currently in development for a variety of overlapping hematological indications with chimeric antigen receptor T cells (CAR-Ts) today, and the question remains to what extent they will disrupt the current cell therapy landscape. Click for more details.

Lat­est news on Pfiz­er's $3B+ JAK1 win; Pacts over M&A at #JPM22; 2021 by the num­bers; Bio­gen's Aduhelm reck­on­ing; The sto­ry of sotro­vimab; and more

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For those of you who attended #JPM22 in any shape or form, we hope you had a fruitful time. Regardless of how you spent the past hectic week, may your weekend be just what you need it to be.

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A $3B+ peak sales win? Pfiz­er thinks so, as FDA of­fers a tardy green light to its JAK1 drug abroc­i­tinib

Back in the fall of 2020, newly crowned Pfizer chief Albert Bourla confidently put their JAK1 inhibitor abrocitinib at the top of the list of blockbuster drugs in the late-stage pipeline with a $3 billion-plus peak sales estimate.

Since then it’s been subjected to serious criticism for the safety warnings associated with the class, held back by a cautious FDA and questioned when researchers rolled out a top-line boast that their heavyweight contender had beaten the champ in the field of atopic dermatitis — Dupixent — in a head-to-head study.

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Robert Califf, FDA commissioner nominee (Graeme Sloan/Sipa USA/Sipa via AP Images)

Rob Califf ad­vances as Biden's FDA nom­i­nee, with a close com­mit­tee vote

Rob Califf’s second confirmation process as FDA commissioner is already much more difficult than his near unanimous confirmation under the Obama administration.

The Senate Health Committee on Thursday voted 13-8 in favor of advancing Califf’s nomination to a full Senate vote. Several Democrats voted against Califf, including Sen. Bernie Sanders and Sen. Maggie Hassan. Several other Democrats who aren’t on the committee, like West Virginia’s Joe Manchin and Ed Markey of Massachusetts, also said Thursday that they would not vote for Califf. Markey, Hassan and Manchin all previously expressed reservations about the prospect of Janet Woodcock as an FDA commissioner nominee too.

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Michel Vounatsos, Biogen CEO (World Economic Forum/Ciaran McCrickard)

Bio­gen vows to fight CM­S' draft cov­er­age de­ci­sion for Aduhelm be­fore April fi­nal­iza­tion

Biogen executives made clear in an investor call Thursday they are not preparing to run a new CMS-approved clinical trial for their controversial Alzheimer’s drug anytime soon.

As requested in a draft national coverage decision from CMS earlier this week, Biogen and other anti-amyloid drugs will need to show “a meaningful improvement in health outcomes” for Alzheimer’s patients in a randomized, placebo-controlled trial to get paid for their drugs, rather than just the reduction in amyloid plaques that won Aduhelm its accelerated approval in June.

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CRO own­er pleads guilty to ob­struct­ing FDA in­ves­ti­ga­tion in­to fal­si­fied clin­i­cal tri­al da­ta

The co-owner of a Florida-based clinical research site pleaded guilty to lying to an FDA investigator during a 2017 inspection, revealing that she falsely portrayed part of a GlaxoSmithKline pediatric asthma study as legitimate, when in fact she knew that certain data had been falsified, the Department of Justice said Wednesday.

Three other employees — Yvelice Villaman Bencosme, Lisett Raventos and Maytee Lledo — previously pleaded guilty and were sentenced in connection with falsifying data associated with the trial at the CRO Unlimited Medical Research.

Susan Galbraith, AstraZeneca EVP, Oncology R&D

Can­cer pow­er­house As­traZeneca rolls the dice on a $75M cash bet on a buzzy up­start in the on­col­o­gy field

After establishing itself in the front ranks of cancer drug developers and marketers, AstraZeneca is putting its scientific shoulder — and a significant amount of cash — behind the wheel of a brash new upstart in the biotech world.

The pharma giant trumpeted news this morning that it is handing over $75 million upfront to ally itself with Scorpion Therapeutics, one of those biotechs that was newly birthed by some top scientific, venture and executive talent and bequeathed with a fortune by way of a bankroll to advance an only hazily explained drug platform. And they are still very much in the discovery and preclinical phase.

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‘Skin­ny la­bels’ on gener­ics can save pa­tients mon­ey, re­search shows, but re­cent court de­ci­sions cloud fu­ture

New research shows how generic drug companies can successfully market a limited number of approved indications for a brand name drug, prior to coming to market for all of the indications. But several recent court decisions have created a layer of uncertainty around these so-called “skinny” labels.

While courts have generally allowed generic manufacturers to use their statutorily permitted skinny-label approvals, last summer, a federal circuit court found that Teva Pharmaceuticals was liable for inducing prescribers and patients to infringe GlaxoSmithKline’s patents through advertising and marketing practices that suggested Teva’s generic, with its skinny label, could be employed for the patented uses.

A patient in Alaska receiving an antibody infusion to prevent Covid hospitalizations in September. All but one of these treatments has been rendered useless by Omicron (Rick Bowmer/AP Images)

How a tiny Swiss lab and two old blood sam­ples cre­at­ed one of the on­ly ef­fec­tive drugs against Omi­cron (and why we have so lit­tle of it)

Exactly a decade before a novel coronavirus broke out in Wuhan, Davide Corti — a newly-minted immunologist with frameless glasses and a quick laugh — walked into a cramped lab on the top floor of an office building two hours outside Zurich. He had only enough money for two technicians and the ceiling was so low in parts that short stature was a job requirement, but Corti believed it’d be enough to test an idea he thought could change medicine.

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