NGM Bio and KdT Ventures Sign Global License Deal for Phase 2-Ready Drug NGM313

NGM Biopharmaceuticals, Inc. (NGM Bio) and KdT Ventures have recently announced a significant worldwide license agreement for NGM313, marking a new chapter in its development. NGM313 is an FGFR1c/β-Klotho receptor complex agonistic antibody that is poised to enter Phase 2 trials. Originally discovered by NGM Bio, the drug has already been studied in over 300 participants, including individuals with metabolic dysfunction-associated steatohepatitis, showcasing its potential in target engagement and its favorable tolerability profile.

KdT Ventures has taken a pivotal step by forming a new company, referred to as NewCo, to explore the potential of NGM313 in a rare disease area. This marks the first occasion that NGM313 will be assessed beyond a metabolic indication. NewCo is preparing to launch a Phase 2 proof-of-concept study in 2025, which signifies a promising move toward addressing unmet medical needs in this domain.

The agreement grants NewCo exclusive global rights for the research, development, and commercialization of NGM313. In return, NGM Bio stands to receive a combination of equity in NewCo, an upfront payment, and up to $608 million in potential development, regulatory, and sales milestone payments. Additionally, NGM Bio will earn tiered royalties on the net sales of the drug.

David J. Woodhouse, Ph.D., the CEO of NGM Bio, expressed his enthusiasm for the partnership, noting the company's strength in uncovering novel disease pathways and its innovative approach to drug development. This collaboration with KdT Ventures is seen as an opportunity to further build on NGM Bio's legacy. Woodhouse emphasized the anticipation of a fruitful partnership with KdT, a similarly science-driven organization, to advance NGM313's development for a new, pressing medical need.

Cain McClary, M.D., Founder and Managing Partner at KdT Ventures, highlighted the strategic importance of this alliance. McClary pointed out that the collaboration underscores KdT's commitment to supporting groundbreaking science that can significantly impact patient lives. He praised the solid scientific foundation and proven safety and efficacy profile of NGM313, while also valuing the partnership with NGM Bio's accomplished team. Details about the newly formed company and its plans are expected to be revealed in the coming months.

NGM Biopharmaceuticals, Inc., a subsidiary of NGM Bio Holdings, Inc., operates as a clinical-stage biotechnology firm. It dedicates itself to creating transformative medicines aimed at improving lives disrupted by disease. The company's approach integrates a deep understanding of complex disease biology with protein engineering to develop promising therapeutic candidates.

KdT Ventures, based in Austin, Texas, and Research Triangle, North Carolina, is a venture capital firm that invests in science-driven startups. The firm focuses on biotechnology, healthcare, and other fields at the intersection of technology and the physical world. KdT Ventures is known for offering comprehensive technical and strategic support to help build transformative companies.