Instil, ImmuneOnco ink $2B biobucks deal for 2 cancer assets

Instil Bio, a Dallas-based biotechnology company, has been searching for new pipeline opportunities after discontinuing its primary projects over the past few years. Recently, Instil Bio has found promise in acquiring two clinical-stage candidates from China's ImmuneOnco Biopharmaceuticals. The company is making an initial payment of $50 million, with the potential for additional milestone payments that could total up to $2 billion. This agreement grants Instil Bio the rights to these therapies globally, excluding Greater China.

The first candidate, IMM2510, is a bispecific antibody that combines an anti-PD-L1 antibody with a vascular endothelial growth factor (VEGF) receptor "trap." This trap binds to VEGF, a protein that promotes the formation of blood vessels. Research has demonstrated that combining anti-PD-1 therapy with anti-VEGF can effectively block the PD-1/PD-L1 axis and synergistically suppress tumor growth, particularly in tumors with high VEGF secretion. IMM2510 distinguishes itself from other PD(L)1xVEGF antibodies in development by its ability to bind multiple VEGF receptor ligands beyond just VEGF-A. This characteristic allows for potentially improved tumor penetration and enhanced antibody-dependent cellular cytotoxicity, which could lead to better tumor eradication. IMM2510 has successfully completed a phase 1 dose-escalation trial in advanced solid tumors, showcasing its effectiveness in patients with cancers such as squamous non-small cell lung cancer that were not adequately treated by PD-1 inhibitors.

The second candidate, IMM27M, is a next-generation anti-CTLA-4 antibody. This antibody has been designed to promote the depletion of regulatory T cells within tumors, thereby enhancing the efficacy and reducing the toxicity associated with first-generation anti-CTLA-4 antibodies. IMM27M has also completed a phase 1 dose-escalation study to demonstrate its anti-tumor potential. Furthermore, ImmuneOnco recently initiated a trial to assess the combined efficacy of IMM27M with IMM2510.

Under the terms of the agreement, Instil Bio will secure the rights to both IMM2510 and IMM27M, except in Greater China. In addition to the potential $2.05 billion in milestone payments, ImmuneOnco will receive low double-digit percentage royalties on future sales.

Instil Bio needed to replenish its pipeline after terminating its lead tumor-infiltrating lymphocyte therapy and four related programs, which also led to a significant reduction in its workforce by 60% at the end of 2022. This left the company with only its ITIL-306 program, which was also discontinued earlier this year. The acquisition of IMM2510 and IMM27M represents a strategic move for Instil Bio to reinvigorate its clinical pipeline and advance its position in the biotechnology sector.

How to obtain the latest research advancements in the field of biopharmaceuticals?

In the Synapse database, you can keep abreast of the latest research and development advances in drugs, targets, indications, organizations, etc., anywhere and anytime, on a daily or weekly basis. Click on the image below to embark on a brand new journey of drug discovery!