Ro­mesh Sub­ra­man­ian births a new biotech with $50M and a plan to steer to­ward the clin­ic with drugs for rare mus­cle dis­eases

The At­las Ven­ture crew has nev­er liked be­ing splashy with mon­ey when it comes to star­tups. They like to get a good, lean team to­geth­er with some seed mon­ey, find an ex­pe­ri­enced helms­man on the bench, gath­er a string of ex­perts to lend ad­vice and of­fer enough cash in the A round — usu­al­ly with syn­di­cate part­ners — to see if they’re re­al­ly on­to some­thing with their lead drug. 

Maybe, the At­las team could even score a pre­clin­i­cal deal, like the one they did with Delinia. Be­cause they are al­ways on the look­out for a great X fac­tor re­turn for an in­vest­ment. The high­er the bet­ter. 10X will get a rous­ing cheer go­ing in this group. A fast 10X-plus works even bet­ter. And if it looks like too long a path to piv­otal da­ta, they’ve been known to bow out as well.

So along those lines, it’s not too sur­pris­ing to see the start­up mod­el Ro­mesh Sub­ra­man­ian is rolling in­to the biotech lane to­day.

Ja­son Rhodes

At­las, For­bion and MPM got to­geth­er to pro­vide the $50 mil­lion launch round, which will al­low the CEO to build up the crew as they build on the pre­clin­i­cal work they’ve been at for the past year or so — cour­tesy of At­las Ven­ture’s in­cu­ba­tion funds.

At­las’ Ja­son Rhodes will be play­ing a key role as ex­ec­u­tive chair­man, help­ing steer a com­pa­ny he co-found­ed.

The biotech is called Dyne Ther­a­peu­tics and they’ve been work­ing on us­ing oligonu­cleotides to de­grade RNA re­spon­si­ble for dis­ease — with a spe­cial fo­cus on mus­cle ail­ments.

Dyne has been de­vel­op­ing its own in-house con­ju­gate tech­nol­o­gy so they can take this ap­proach and care­ful­ly tar­get it to mus­cles. Ze­ro in close enough and you can amp up your dosage and avoid off-tar­get is­sues. 

Their first dis­ease is my­oton­ic dy­s­tro­phy type 1 — or DM1 — a rare, in­her­it­ed ail­ment that caus­es mus­cle weak­ness. The plan is to build a pipeline of ther­a­pies that can kick down gene ex­pres­sion for rare, mono­genic neu­ro­mus­cu­lar dis­eases, start­ing with skele­tal, car­diac and smooth mus­cle. And they want to stay fo­cused on break­through ther­a­pies.

“Fifty mil­lion takes us to the clin­ic,” says Sub­ra­man­ian. He’s not shar­ing any time­lines with me — not un­usu­al in a start­up’s ear­ly days. But with these back­ers, clear, track­able progress is baked in­to every­thing they do.

This is all fa­mil­iar ter­ri­to­ry for Sub­ra­man­ian, a well-known fig­ure in biotech, who did a stint as a se­nior sci­en­tist at Pfiz­er with Art Krieg be­fore mov­ing on to co-found RaNA and then set up trans­la­tion­al re­search groups for rare dis­eases at Alex­ion — up un­til Lud­wig Hantson’s big purge in the fall of 2017.

With­in months, he was build­ing the new com­pa­ny at At­las. These days, you see one door close, you po­ten­tial­ly get to have your pick of doors. 


Left to right: Sud­hir Agraw­al, Charles Thorn­ton, Louis Kunkel, Nan­cy An­drews.

Here’s their im­pres­sive list of sci­en­tif­ic ad­vis­ers help­ing Dyne stay on track:

— Nan­cy An­drews, for­mer dean of the School of Med­i­cine at Duke Uni­ver­si­ty and No­var­tis board mem­ber.

— Louis Kunkel, mem­ber of the Di­vi­sion of Ge­net­ics and Ge­nomics at Boston Chil­dren’s Hos­pi­tal and pro­fes­sor of pe­di­atrics and ge­net­ics at Har­vard Med­ical School.

— Charles Thorn­ton, Saun­ders Dis­tin­guished Pro­fes­sor of Neu­ro­mus­cu­lar Re­search at the Uni­ver­si­ty of Rochester.

— Sud­hir Agraw­al, vis­it­ing pro­fes­sor in the De­part­ment of Med­i­cine at The Uni­ver­si­ty of Mass­a­chu­setts Med­ical School and founder of Idera Phar­ma­ceu­ti­cals.

On the heels of promis­ing MCL da­ta, Kite hus­tles its 2nd CAR-T to the FDA as the next big race in the field draws to the fin­ish line

Three days after Gilead’s Kite subsidiary showed off stellar data on their number 2 CAR-T KTE-X19 at ASH, the executive team has pivoted straight to the FDA with a BLA filing and a shot at a near-term approval.

In a small, 74-patient Phase II trial reported out at the beginning of the week, investigators tracked a 93% response rate with two out of three mantle cell lymphoma patients experiencing a complete response.

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Paul Hudson, Getty Images

UP­DAT­ED: Sanofi CEO Hud­son lays out new R&D fo­cus — chop­ping di­a­betes, car­dio and slash­ing $2B-plus costs in sur­gi­cal dis­sec­tion

Earlier on Monday, new Sanofi CEO Paul Hudson baited the hook on his upcoming strategy presentation Tuesday with a tell-tale deal to buy Synthorx for $2.5 billion. That fits squarely with hints that he’s pointing the company to a bigger future in oncology, which also squares with a major industry tilt.

In a big reveal later in the day, though, Hudson offered a slate of stunners on his plans to surgically dissect and reassemble the portfoloio, saying that the company is dropping cardio and diabetes research — which covers two of its biggest franchise arenas. Sanofi missed the boat on developing new diabetes drugs, and now it’s pulling out entirely. As part of the pullback, it’s dropping efpeglenatide, their once-weekly GLP-1 injection for diabetes.

“To be out of cardiovascular and diabetes is not easy for a company like ours with an incredibly proud history,” Hudson said on a call with reporters, according to the Wall Street Journal. “As tough a choice as that is, we’re making that choice.”

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As­traZeneca joins Mer­ck, Bris­tol-My­ers in Chi­na's check­point race as reg­u­la­tors OK first PD-L1

AstraZeneca has made a stride toward realizing its ambitions in China as regulators greenlight Imfinzi as a treatment for non-small cell lung cancer.

In particular, the PD-L1 agent is filling a void for immunotherapies in Stage III unresectable case, the company said, where the cancer has not spread to the rest of the body. It is to be used, with curative intent, in patients whose cancer hasn’t progressed following concurrent platinum-based chemotherapy and radiation therapy.

Cor­re­vio is putting it­self up on the auc­tion block af­ter FDA re­view pan­el points to an­oth­er re­jec­tion

For 13 years, the Canadian biotech Correvio tried to get the FDA to accept a heart drug since abandoned by Merck and Astellas. Yesterday, the agency’s outside experts voted 11-2 against approval, all but assuring another rejection for the atrial fibrillation compound vernakalant.

And today Correvio announced that Correvio may soon be no more. The company said it is looking to sell itself as its stock plummets into penny-stock territory $CORV and its potential moneymaker sputters once more.

Psilocybin mushrooms (via The Denver Post)

In a key step for psy­che­del­ic re­search, mag­ic mush­room com­pound clears first clin­i­cal safe­ty hur­dle

Exasperated with the often-ineffective existing slate of antidepressants, COMPASS Pathways set up shop in London 2016 — and made a beeline for psilocybin, the psychoactive ingredient in magic mushrooms.

On Wednesday, the startup said its man-made version of the chemical — which is illegal across geographies in its natural fungi form — had been well-tolerated in an early-stage, placebo-controlled trial in 89 healthy volunteers.

Al­pham­ab On­col­o­gy rounds out HKEX's sec­ond biotech IPO year with $230M raise and high lo­cal in­ter­est

Alphamab Oncology has inspired a surge of local interest in what will likely be the Hong Kong Stock Exchange’s last biotech run of the year, pricing its IPO on the high end of the range and raising over $230 million (HK$1.83 billion).

After rejigging the offering structure and making up to 50% available for enthusiastic local investors, the biotech sold 179.4 million shares at $1.31 (HK$10.2) and saw its stock rise to $1.77 ($13.8) on the first day of trading.

For sale: Long-act­ing PhI­II GLP-1 di­a­betes drug that’s way be­hind ri­vals, now spurned by Sanofi

Almost exactly 4 years ago Sanofi came to the bargaining table with South Korea’s Hanmi bearing $434 million dollars in cash and offering about $4 billion in milestones to in-license their once-weekly GLP-1 injectable. The pact was intended to revive their ailing diabetes division. Instead, it turned into a very expensive grave to mark the end of Sanofi’s R&D ambitions in the field.

Sanofi CEO Paul Hudson used efpeglenatide’s demise — while committing to paying hundreds of millions of more dollars to push it through 5 late-stage studies — as a marker of the company’s determination to stay focused on first and best-in-class drugs.

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What does $6.9B buy these days in on­col­o­gy R&D? As­traZeneca has a land­mark an­swer

Given the way the FDA has been whisking through new drug approvals months ahead of their PDUFA date, AstraZeneca and their partners Daiichi Sankyo may not have to wait until Q2 of next year to get a green light on trastuzumab deruxtecan (DS-8201).

The pharma giant this morning played their ace in the hole, showing off why they were willing to commit to a $6.9 billion deal — with $1.35 billion in a cash upfront — to partner on the drug.

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Parkin­son's trans­plants emerge as stem cell pi­o­neer Jeanne Lor­ing joins R&D race

Jeanne Loring hadn’t studied Parkinson’s in 22 years when she got an email from a local neurologist.

The neurologist, Melissa Houser, didn’t know Loring had ever published on the disease. She was just looking for a stem cell researcher who might hear her out. 

“I think I was just picked out of a hat,” Loring told Endpoints News. 

At a meeting in Loring’s Scripps Research office, Houser and a Parkinson’s nurse practitioner, Sherrie Gould, asked her why there was so much research done in stem cell transplants for other neurodegenerative diseases but not Parkinson’s. They wanted to know if she would work on one.