Blue Earth Therapeutics secures $76M for alpha and beta radiotherapies

The radiopharmaceutical industry is experiencing significant growth, marked by an increase in private funding and the development of clinical-stage programs. Recently, Blue Earth Therapeutics, based in Oxford, UK, announced a $76.5 million Series A funding. This capital will advance the company’s lutetium-based radioligand therapy into Phase 2 clinical trials and its actinium-based asset into Phase 1 trials, both of which are scheduled to commence in early 2025, according to CEO David Gauden.

The funding surge highlights the growing interest from investors and pharmaceutical companies in the radiopharma sector. In the past weeks, Alpha-9 Oncology secured $175 million in a Series C round, and Aktis Oncology raised the same amount in a Series B funding. Gauden noted that Blue Earth Therapeutics anticipates having key clinical data within the next 12 to 18 months. Based on this data, the company may consider entering into pharmaceutical partnerships, undertaking another round of private funding, or potentially launching an IPO, contingent on favorable market conditions.

The industry has witnessed significant investments from major players, including Lilly, Novartis, and Bristol Myers, over the past year. However, Gauden pointed out that several other big pharmaceutical companies have yet to fully commit to radiopharma, suggesting potential for increased deal-making in the future.

Blue Earth Therapeutics aims to enhance PSMA-targeted radiopharmaceuticals, building on the groundwork laid by Novartis with its product, Pluvicto. The company's goal is to double the radiation delivered to prostate cancer lesions while maintaining the safety and minimizing side effects on healthy organs. To achieve this, Blue Earth collaborates with external manufacturers and has established partnerships with three entities capable of producing the drug. They also have access to approximately six suppliers for lutetium.

While Actinium 225-based radiopharmaceuticals have faced supply challenges, Gauden assured that Blue Earth has secured enough for its upcoming Phase 1 trials. He also projected that the actinium supply chain would reach the current level of the lutetium supply chain within the next three to four years.

Blue Earth Therapeutics, which shares some activities and resources with its sister company Blue Earth Diagnostics, is moving towards greater independence. Gauden, who transitioned from CEO of the diagnostics company to lead the therapeutics branch in July, noted that the two entities are now largely separate. Blue Earth Diagnostics is known for its FDA-approved imaging agents, and both companies are supported by Milan-based Bracco Imaging.

In addition to backing from Bracco, Blue Earth Therapeutics' investors include Soleus Capital, Sands Capital Management, Woodline Partners, and PBM Capital. This diverse investment base underscores the broad interest and confidence in the potential of radiopharmaceutical advancements to revolutionize cancer treatment.