Fast-growing Gilead buys an R&D campus for $135M — report; Eureka bags $60M round for T cell R&D work
→ Fresh off its deal to acquire Kite, the fast-growing biotech Gilead $GILD has just struck a deal to buy the old Agensys campus from Astellas for its new subsidiary for $135 million, according to a sourced report from CoStar. The Kite site in Santa Monica includes a 160,000-square-foot building, which Astellas shuttered after deciding to abandon the work that it was doing there.
→ There’s more bad news coming from Teva’s R&D group $TEVA today. The troubled company reported that its two late-stage studies of the subcutaneous versions of Cinqair (reslizumab) for severe eosinophilic asthma failed. The IV version has been on the market for two years, with analysts projecting only $30 million in 2017 revenue. “(T)he failure of this study removes a potential upside driver for Teva and this puts downside pressure on the stock,” noted Leerink. “The key branded pipeline contributors, in our view, are still Austedo (deutetrabenazine, for tardive dyskinesia and chorea associated with Huntington’s disease) and fremanezumab (calcitonin gene–related peptide mAb, for the preventative treatment of migraines), which we assume each can grow to >$500M in revenues by 2022.”
→ Emeryville, CA-based Eureka Therapeutics has picked up a $60 million D round to support its work on T cell technologies. The biotech has a lead program focused on CD19+ non-Hodgkin lymphoma with work on both hematological and solid tumors. Acorn Pacific Ventures led the round, with participation from GP Capital and all existing major investors. “2017 was a transformational year for Eureka. This financing represents an important validation of our strategy, and provides us the resources to advance our Artemis T cell platform into clinical development,” said Cheng Liu, president and CEO of Eureka.
→ Agenus $AGEN is restructuring its debt with a $230 million royalty deal it just struck with HealthCare Royalty Partners. The deal comes with $190 million in cash and $40 million in milestones, providing money to cover registrational studies with anti-CTLA-4 and anti-PD-1 for planned BLA filings.