Sanofi beefs up can­cer drug pipeline, pay­ing cash hun­gry Im­muno­Gen $30M for full rights to on­col­o­gy port­fo­lio

Sanofi $SNY is once again re­jig­ging its part­ner­ship with Im­muno­Gen $IMGN. But two years af­ter punt­ing a can­cer drug as the phar­ma gi­ant over­hauled its can­cer drug pipeline, Sanofi is pay­ing $30 mil­lion in cash to grab added com­mer­cial­iza­tion rights for a string of on­col­o­gy as­sets — in­clud­ing a late-stage drug — as Im­muno­Gen builds up its cache of cash for its lead pro­gram.

At the top of the list is isat­ux­imab (SAR650984), an an­ti-CD38 an­ti­body in Phase III for mul­ti­ple myelo­ma. Then there’s SAR566658, an an­ti­body-drug con­ju­gate tar­get­ing CA6 in Phase II de­vel­op­ment for triple neg­a­tive breast can­cer; SAR408701, an an­ti-CEA­CAM5 ADC stud­ied for the treat­ment of sol­id tu­mors; “and an ad­di­tion­al ADC di­rect­ed to an undis­closed tar­get.”

The two com­pa­nies al­so agreed to change their 2013 deal, giv­ing Sanofi ex­clu­sive rights to SAR428926, an an­ti-LAMP1 ADC for sol­id tu­mors.

In ex­change for the cash, Im­muno­Gen is giv­ing up co-pro­mo­tion rights as well as roy­al­ty streams on any ap­proved ther­a­pies that come out of the pact.

Mark Enyedy

This is all part of a months-long ef­fort by Im­muno­Gen CEO Mark Enyedy to cash in on as­sets and come up with enough fund­ing to con­cen­trate ef­forts on their Phase III study of mirve­tux­imab so­rav­tan­sine. A few days ago Im­muno­Gen sold off its CD37-tar­get­ing ADC IMGN529 to De­bio­pharm for $25 mil­lion up front.

“Im­por­tant­ly,” not­ed RBC’s Matthew Eck­ler at the time of the De­bio­pharm deal, “this will fund op­er­a­tions through fu­til­i­ty analy­sis of the Phase III FOR­WARD I tri­al of mirve­tux­imab in ovar­i­an can­cer, ex­pect­ed 1H18. The sale of ’529 rep­re­sents con­tin­ued ex­e­cu­tion of re­struc­tur­ing ef­forts an­nounced last fall, which are pri­or­i­tiz­ing mirve­tux­imab and the IGN-pay­load pipeline. Un­der this plan, man­age­ment is al­so seek­ing to mon­e­tize coltux­imab rav­tan­sine (CD19-tar­get­ing ADC), which could rep­re­sent an ad­di­tion­al near-term source of non-di­lu­tive cap­i­tal.

“Amend­ing these agree­ments al­lows us to con­tin­ue to fo­cus on the de­vel­op­ment of our lead pro­gram, mirve­tux­imab so­rav­tan­sine, while ad­vanc­ing our ear­li­er-stage port­fo­lio and fur­ther strength­en­ing Im­muno­Gen’s cash po­si­tion,” stat­ed Enyedy,  “We be­lieve Sanofi pos­sess­es the right re­sources to com­plete the de­vel­op­ment of these in­no­v­a­tive can­di­dates and po­ten­tial­ly bring them to pa­tients around the globe.”

Bris­tol My­ers is clean­ing up the post-Cel­gene merg­er pipeline, and they’re sweep­ing out an ex­per­i­men­tal check­point in the process

Back during the lead up to the $74 billion buyout of Celgene, the big biotech’s leadership did a little housecleaning with a major pact it had forged with Jounce. Out went the $2.6 billion deal and a collaboration on ICOS and PD-1.

Celgene, though, also added a $530 million deal — $50 million up front — to get the worldwide rights to JTX-8064, a drug that targets the LILRB2 receptor on macrophages.

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UP­DAT­ED: Leg­end fetch­es $424 mil­lion, emerges as biggest win­ner yet in pan­dem­ic IPO boom as shares soar

Amid a flurry of splashy pandemic IPOs, a J&J-partnered Chinese biotech has emerged with one of the largest public raises in biotech history.

Legend Biotech, the Nanjing-based CAR-T developer, has raised $424 million on NASDAQ. The biotech had originally filed for a still-hefty $350 million, based on a range of $18-$20, but managed to fetch $23 per share, allowing them to well-eclipse the massive raises from companies like Allogene, Juno, Galapagos, though they’ll still fall a few dollars short of Moderna’s record-setting $600 million raise from 2018.

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As it hap­pened: A bid­ding war for an an­tibi­ot­ic mak­er in a mar­ket that has rav­aged its peers

In a bewildering twist to the long-suffering market for antibiotics — there has actually been a bidding war for an antibiotic company: Tetraphase.

It all started back in March, when the maker of Xerava (an FDA approved therapy for complicated intra-abdominal infections) said it had received an offer from AcelRx for an all-stock deal valued at $14.4 million.

The offer was well-timed. Xerava was approved in 2018, four years after Tetraphase posted its first batch of pivotal trial data, and sales were nowhere near where they needed to be in order for the company to keep its head above water.

Is a pow­er­house Mer­ck team prepar­ing to leap past Roche — and leave Gilead and Bris­tol My­ers be­hind — in the race to TIG­IT dom­i­na­tion?

Roche caused quite a stir at ASCO with its first look at some positive — but not so impressive — data for their combination of Tecentriq with their anti-TIGIT drug tiragolumab. But some analysts believe that Merck is positioned to make a bid — soon — for the lead in the race to a second-wave combo immuno-oncology approach with its own ambitious early-stage program tied to a dominant Keytruda.

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Drug man­u­fac­tur­ing gi­ant Lon­za taps Roche/phar­ma ‘rein­ven­tion’ vet as its new CEO

Lonza chairman Albert Baehny took his time headhunting a new CEO for the company, making it absolutely clear he wanted a Big Pharma or biotech CEO with a good long track record in the business for the top spot. In the end, he went with the gold standard, turning to Roche’s ranks to recruit Pierre-Alain Ruffieux for the job.

Ruffieux, a member of the pharma leadership team at Roche, spent close to 5 years at the company. But like a small army of manufacturing execs, he gained much of his experience at the other Big Pharma in Basel, remaining at Novartis for 12 years before expanding his horizons.

Covid-19 roundup: Ab­b­Vie jumps in­to Covid-19 an­ti­body hunt; As­traZeneca shoots for 2B dos­es of Ox­ford vac­cine — with $750M from CEPI, Gavi

Another Big Pharma is entering the Covid-19 antibody hunt.

AbbVie has announced a collaboration with the Netherlands’ Utrecht University and Erasmus Medical Center and the Chinese-Dutch biotech Harbour Biomed to develop a neutralizing antibody that can treat Covid-19. The antibody, called 47D11, was discovered by AbbVie’s three partners, and AbbVie will support early preclinical work, while preparing for later preclinical and clinical development. Researchers described the antibody in Nature Communications last month.

Pfiz­er’s Doug Gior­dano has $500M — and some ad­vice — to of­fer a cer­tain breed of 'break­through' biotech

So let’s say you’re running a cutting-edge, clinical-stage biotech, probably public, but not necessarily so, which could see some big advantages teaming up with some marquee researchers, picking up say $50 million to $75 million dollars in a non-threatening minority equity investment that could take you to the next level.

Doug Giordano might have some thoughts on how that could work out.

The SVP of business development at the pharma giant has helped forge a new fund called the Pfizer Breakthrough Growth Initiative. And he has $500 million of Pfizer’s money to put behind 7 to 10 — or so — biotech stocks that fit that general description.

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Mer­ck wins a third FDA nod for an­tibi­ot­ic; Mereo tack­les TIG­IT with $70M raise in hand

Merck — one of the last big pharma bastions in the beleaguered field of antibiotic drug development — on Friday said the FDA had signed off on using its combination drug, Recarbrio, with hospital-acquired bacterial pneumonia and ventilator-associated bacterial pneumonia. The drug could come handy for use in hospitalized patients who are afflicted with Covid-19, who carry a higher risk of contracting secondary bacterial infections. Once SARS-CoV-2, the virus behind Covid-19, infects the airways, it engages the immune system, giving other pathogens free rein to pillage and plunder as they please — the issue is particularly pertinent in patients on ventilators, which in any case are breeding grounds for infectious bacteria.

RA Cap­i­tal, Hill­house join $310M rush to back Ever­est's climb to com­mer­cial heights in Chi­na

Money has never been an issue for Everest Medicines. With an essentially open tab from their founders at C-Bridge Capital, the biotech has gone two and a half years racking up drug after drug, bringing in top exec after top exec, and issuing clinical update after update.

But now other investors want in — and they’re betting big.

Everest is closing its Series C at $310 million. The first $50 million comes from the Jiashan National Economic and Technological Development Zone; the remaining C-2 tranche was led by Janchor Partners, with RA Capital Management and Hillhouse Capital as co-leaders. Decheng Capital, GT Fund, Janus Henderson Investors, Rock Springs Capital, Octagon Investments all joined.