Fortress Biotech sells bro­ker­age firm fol­low­ing Reuters ex­posé; Tra­con con­tends with an­oth­er set­back in brain can­cer

→ In the af­ter­math of a Reuters re­port shin­ing a light on its ques­tion­able re­la­tion­ship with Na­tion­al Hold­ings, Fortress Biotech an­nounced it is sell­ing con­trol of the bro­ker­age firm that’s pro­vid­ed con­sid­er­able — if in­con­spic­u­ous — fundrais­ing sup­port for its biotech ven­tures. In a deal reg­is­tered at $22.9 mil­lion, Fortress Bio will trans­fer its ma­jor­i­ty stake — 56.1% — to B. Ri­ley Fi­nan­cial, giv­ing the fi­nan­cial ser­vices com­pa­ny ac­cess to 700 bro­kers, 90,000 cus­tomer ac­counts and $12 bil­lion-plus in client’s as­sets, the com­pa­nies say.

→ Tiny Tra­con $TCON has suf­fered an­oth­er brain can­cer set­back. Last year, its lead drug TRC105 failed in a Phase III NCI study in pa­tients with re­cur­rent glioblas­toma. On Mon­day, it re­port­ed dis­ap­point­ing ini­tial da­ta from a Phase II NCI study eval­u­at­ing its ex­per­i­men­tal drug, TRC102, in com­bi­na­tion with Mer­ck’s $MRK Temodar, in the same pa­tient pop­u­la­tion. TRC102 plus Temodar did not meet the main goal of re­sen­si­tiz­ing pa­tients to Temodar treat­ment in the ini­tial 19 en­rolled pa­tients, al­though two pa­tients met the sec­ondary end­point of pro­gres­sion-free sur­vival be­yond 6 months, the com­pa­ny said. The drug con­tin­ues to be eval­u­at­ed in four on­go­ing NCI tri­als.

→ Af­ter years of see­ing its stock in the gut­ters, RXi Phar­ma­ceu­ti­cals $RXII has de­cid­ed to op­er­ate un­der a new ban­ner: Phio Phar­ma­ceu­ti­cals $PHIO. The name change re­flects its de­ci­sion to con­cen­trate on im­muno-on­col­o­gy ap­pli­ca­tions for its RNA tech, the com­pa­ny says, some­thing it’s sig­naled with a T-cell re­search pact with Medi­gene an­nounced late last year.

Har­vard spin­out QurAlis has brought its to­tal amount of seed fund­ing to $5.5 mil­lion by adding BioIn­no­va­tion Cap­i­tal and Vi­va Biotech Lim­it­ed to the fold. The mon­ey, as well as a sec­ond year of spon­sored lease at Lab­Cen­tral and a new res­i­den­cy at JLABS, will sup­port QurAlis’ in ad­vanc­ing its treat­ments for amy­otroph­ic lat­er­al scle­ro­sis (ALS) and fron­totem­po­ral de­men­tia to the clin­ic. “My part­ners and I have fol­lowed QurAlis’ progress close­ly dur­ing its time at Lab­Cen­tral,” said Jo­hannes Frue­hauf, pres­i­dent of Lab­Cen­tral and gen­er­al part­ner at BioIn­no­va­tion Cap­i­tal. “We be­lieve their nov­el ap­proach has the po­ten­tial to change the tra­jec­to­ry of the dis­ease, just as the an­tivi­ral ther­a­pies did for HIV in the late 1990s; we are ex­cit­ed to pro­vide our sup­port and ex­per­tise to help pro­pel the com­pa­ny for­ward.”

2023 Spot­light on the Fu­ture of Drug De­vel­op­ment for Small and Mid-Sized Biotechs

In the context of today’s global economic environment, there is an increasing need to work smarter, faster and leaner across all facets of the life sciences industry.  This is particularly true for small and mid-sized biotech companies, many of which are facing declining valuations and competing for increasingly limited funding to propel their science forward.  It is important to recognize that within this framework, many of these smaller companies already find themselves resource-challenged to design and manage clinical studies themselves because they don’t have large teams or in-house experts in navigating the various aspects of the drug development journey. This can be particularly challenging for the most complex and difficult to treat diseases where no previous pathway exists and patients are urgently awaiting breakthroughs.

Dipal Doshi, Entrada Therapeutics CEO

Ver­tex just found the next big ‘trans­for­ma­tive’ thing for the pipeline — at a biotech just down the street

Back in the summer of 2019, when I was covering Vertex’s executive chairman Jeff Leiden’s plans for the pipeline, I picked up on a distinct focus on myotonic dystrophy Type I, or DM1 — one of what Leiden called “two diseases (with DMD) we’re interested in and we continue to look for those assets.”

Today, Leiden’s successor at the helm of Vertex, CEO Reshma Kewalramani, is plunking down $250 million in cash to go the extra mile on DM1. The lion’s share of that is for the upfront, with a small reserve for equity in a deal that lines Vertex up with a neighbor in Seaport that has been rather quietly going at both of Vertex’s early disease targets with preclinical assets.

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WIB22: Am­ber Salz­man had few op­tions when her son was di­ag­nosed with a rare ge­net­ic dis­ease. So she cre­at­ed a bet­ter one

This profile is part of Endpoints News’ 2022 special report about Women in Biopharma R&D. You can read the full report here.

Amber Salzman’s life changed on a cold, damp day in Paris over tiny plastic cups of lukewarm tea.

She was meeting with Patrick Aubourg, a French neurologist studying adrenoleukodystrophy, or ALD, a rare genetic condition that causes rapid neurological decline in young boys. It’s a sinister disease that often leads to disability or death within just a few years. Salzman’s nephew was diagnosed at just 6 or 7 years old, and died at the age of 12.

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Ahead of ad­comm, FDA rais­es un­cer­tain­ties on ben­e­fit-risk pro­file of Cy­to­ki­net­ic­s' po­ten­tial heart drug

The FDA’s Cardiovascular and Renal Drugs Advisory Committee will meet next Tuesday to discuss whether Cytokinetics’ potential heart drug can safely reduce the risk of cardiovascular death and heart failure in patients with symptomatic chronic heart failure with reduced ejection fraction.

The drug, known as omecamtiv mecarbil and in development for more than 15 years, has seen mixed results, with a first Phase III readout from November 2020 hitting the primary endpoint of reducing the odds of hospitalization or other urgent care for heart failure by 8%. But it also missed a key secondary endpoint analysts had pegged as key to breaking into the market.

Ab­b­Vie slapped with age dis­crim­i­na­tion law­suit, fol­low­ing oth­er phar­mas

Add AbbVie to the list of pharma companies currently facing age discrimination allegations.

Pennsylvania resident Thomas Hesch filed suit against AbbVie on Wednesday, accusing the company of passing him over for promotions in favor of younger candidates.

Despite 30 years of pharma experience, “Hesch has consistently seen younger, less qualified employees promoted over him,” the complaint states.

Rami Elghandour, Arcellx CEO

Up­dat­ed: Gilead, Ar­cel­lx team up on an­ti-BC­MA CAR-T as biotech touts a 100% re­sponse rate at #ASH22

Gilead and Kite are plunking down big cash to get into the anti-BCMA CAR-T game.

The pair will shell out $225 million in cash upfront and $100 million in equity to Arcellx, Kite announced Friday morning, to develop the biotech’s lead CAR-T program together. Kite will handle commercialization and co-development with Arcellx, and profits in the US will be split 50-50.

Concurrent with the deal, Arcellx revealed its latest cut of data for the program known as CART-ddBCMA, ahead of a full presentation at this weekend’s ASH conference — a 100% response rate among patients getting the therapy. Investors jumped at the dual announcements, sending Arcellx shares $ACLX up more than 25% in Friday’s morning session.

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WIB22: Lead­ing NK cell re­searcher re­flects on roots in Iran, the UK and Texas

This profile is part of Endpoints News’ 2022 special report about Women in Biopharma R&D. You can read the full report here.

In a small but widely-cited 11-person study published in NEJM in 2020, seven patients saw signs of their cancer completely go away after getting a new therapy made from natural killer cells. The study was one of the earliest to provide clinical proof that the experimental treatment method had promise.

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WIB22: Chas­ing af­ter ever-evolv­ing sci­ence takes a drug hunter across the pond

This profile is part of Endpoints News’ 2022 special report about Women in Biopharma R&D. You can read the full report here.

Like many scientists, Fiona Marshall would tell you that she loved the natural world growing up — going to look at crabs running around the beach near her childhood home, pondering about the tides. But one thing about biology, in particular, stood out: It was constantly changing, and changing very quickly.

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Christian Itin, Autolus CEO (UKBIO19)

Au­to­lus tips its hand, bags $220M as CAR-T show­down with Gilead looms

The first batch of pivotal data on Autolus Therapeutics’ CAR-T is in, and execs are ready to plot a path to market.

With an overall remission rate of 70% at the interim analysis featuring 50 patients, the results set the stage for a BLA filing by the end of 2023, said CEO Christian Itin.

Perhaps more importantly — given that Autolus’ drug, obe-cel, is going after an indication that Gilead’s Tecartus is already approved for — the biotech highlighted “encouraging safety data” in the trial, with a low percentage of patients experiencing severe immune responses.