Palleon and Shanghai Henlius Biotech collaborate on autoimmune therapy

Palleon Pharmaceuticals and Shanghai Henlius Biotech have embarked on a strategic partnership to advance the development of Palleon's innovative sialidase enzyme therapy, E-602, aimed at treating autoimmune diseases. This alliance centers on utilizing E-602 alongside Henlius' rituximab drug, HANLIKANG, to provide new treatment options for individuals suffering from autoimmune disorders, particularly lupus nephritis.

Under the terms of this agreement, Henlius has obtained exclusive rights to develop and market E-602 within China. In return, Palleon is positioned to receive up to $95.3 million upon achieving certain developmental and commercial milestones, as well as royalties from future sales of E-602 in the region. Henlius will spearhead and finance the development initiatives in China, focusing on lupus nephritis applications.

The collaboration is an extension of the existing partnership between Palleon and Henlius, which began in June 2022. Initially, the two companies joined forces to co-develop targeted sialidase therapies addressing cancer treatment, leveraging their combined expertise to innovate in the oncology space.

Dr. Jason Zhu, CEO and executive director of Henlius Biotech, expressed enthusiasm about the expanded collaboration with Palleon Pharmaceuticals. He highlighted the significance of HANLIKANG as the sole rituximab approved for autoimmune indications in China and reiterated the company's commitment to delivering enhanced therapies for patients with lupus nephritis and other challenging autoimmune conditions where current treatments fall short.

E-602 is a groundbreaking therapeutic derived from Palleon's EAGLE glycan editing platform. When used in combination with rituximab, E-602 has demonstrated superior outcomes in preclinical trials compared to the use of rituximab alone. Notably, this combination therapy avoids the risks associated with cytokine release syndrome and immune effector cell-associated neurotoxicity syndrome, side effects often associated with other treatments like T cell engagers and CAR T-cell therapies.

Jim Broderick, CEO and founder of Palleon Pharmaceuticals, remarked on the potential of their glycan editing technology to significantly enhance treatment outcomes for patients with autoimmune diseases, including lupus nephritis. He emphasized the importance of making these therapies accessible, even in community outpatient settings, and expressed optimism about the ongoing collaboration with Henlius. Broderick sees this partnership as a pathway to expand the field of glyco-immunology drug development, thereby addressing a previously underserved category of patients in need of more effective treatment solutions.

This partnership represents a significant step forward in the pursuit of novel therapeutic approaches for autoimmune diseases. By combining Palleon's innovative glycan editing technology with Henlius' established expertise in biopharmaceutical development and commercialization, the collaboration aims to offer renewed hope for patients and healthcare providers seeking more effective and accessible treatment options for complex autoimmune conditions.