Syncona merges Freeline and SwanBio to boost gene therapy biotech

Spur Therapeutics, a newly formed biopharmaceutical company, will be 99% owned by Syncona and is set to be valued at approximately £104.7 million ($132.7 million). This development comes after Syncona extended financial support to Freeline Therapeutics, another biotech firm, seven months ago. The London-based investment firm has now facilitated the merger of Freeline with another of its founded companies, SwanBio Therapeutics, resulting in the creation of Spur Therapeutics.

Spur's pipeline will include Freeline’s leading program for Gaucher disease, FLT201, which is scheduled to enter phase 3 clinical trials in 2025. Additionally, it will feature SwanBio’s phase 1/2 program for adrenomyeloneuropathy (AMN), a neurodegenerative disease. This AMN program, labeled SBT101, is expected to report initial safety data from its higher-dose cohort in the first half of next year. Notably, SBT101 is currently the only gene therapy under development for this inherited spinal cord condition, according to Spur.

Michael Parini, formerly the CEO of Freeline, will transition to become the CEO of Spur. He emphasized that the new entity's name and brand reflect its commitment to changing the course of diseases with a single dose of genetic medicine. Parini stated that by fine-tuning every aspect of their product candidates—from expression to packaging and delivery—they aim to develop a new generation of therapies that will significantly impact patients' lives.

This strategic move by Syncona is not unprecedented. In November 2023, the investment firm acquired a controlling interest in Freeline by paying a 51% premium on the biotech’s share price. The decision was influenced by compelling data supporting Freeline’s FLT201 program.

Furthermore, Spur’s broader pipeline includes a research program that uses the same transgene as FLT201 to address Parkinson’s disease. The goal is to identify a development candidate by the end of this year, which will then proceed to preclinical trials.

Chris Hollowood, CEO of Syncona Investment Management Limited and chairman of Spur’s board of directors, expressed optimism about Spur’s expanded pipeline. He highlighted the company’s highly differentiated lead clinical program, backed by robust data, and a potential first-in-class second clinical asset.

In summary, the formation of Spur Therapeutics signifies a significant step for Syncona in its efforts to advance gene therapy. With a strong pipeline featuring promising programs for Gaucher disease, adrenomyeloneuropathy, and Parkinson’s disease, Spur aims to make substantial strides in the biotech industry. The company’s mission is to enhance the lives of patients through innovative genetic medicine, driven by a commitment to optimize every element of their therapeutic candidates.