Major Pharmaceutical Group Acquires Preclinical Cancer Asset
Gilead Partners with Sprint Bioscience to Exploit the TREX1 Target in Immunotherapy
In light of substantial recent investments in oncology and mounting competition, a leading pharmaceutical corporation is seeking a new approach to combat cancer. The company has finalized a deal to purchase a preclinical program from the Swedish biotech firm, Sprint Bioscience.
Focus of the Agreement:
The deal centers on a biological target known as TREX1.
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Cancer Mechanism: Research suggests that inhibiting TREX1 can activate anti-tumor immune activity. A healthy TREX1 gene typically helps prevent over-activation of the immune system, but in oncology, it may allow cancer cells to evade the body’s natural defense mechanisms. The therapeutic goal of inhibition is to unleash anti-tumor immune responses.
Financial Terms:
The agreement stipulates that the pharmaceutical group will pay Sprint Bioscience $14 million up front. Sprint Bioscience is also eligible to receive up to an additional $400 million if the program meets certain clinical, regulatory, and commercial milestones. This structure is seen as a low-risk option, with the majority of potential payments contingent upon the program’s success.
Strategic Context:
This deal is part of the corporation’s ongoing effort to reinforce its oncology portfolio.
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The company has invested billions into oncology, including the $21 billion acquisition five years ago that brought in the cancer drug Trodelvy. However, Trodelvy has fallen short of initial expectations and encountered research setbacks, including the withdrawal from the bladder cancer market after a study failed to confirm its clinical benefits.
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Simultaneously, the firm is grappling with increased competition in its cell therapy division and regulatory uncertainty surrounding its crucial HIV franchise.
Therefore, externally sourcing new drug candidates is essential to boost business growth. Prior to this agreement, the company had announced a $350 million deal to acquire a technology capable of genetically modifying immune cells inside the body.
