M&A, Deals, Partnerships:
Neomorph (SD) Signs $1.64B Molecular Glue Deal with AbbVie
Neomorph inked its third major collaboration in a year, partnering with AbbVie on molecular glues for cancer and immunology, following similar pacts with Novo Nordisk and Biogen. The deal includes an undisclosed upfront payment and up to $1.64 billion in milestones, showcasing the growing interest in molecular glue therapies among major pharma players like Pfizer, Novartis, and Takeda. AbbVie previously entered the molecular glue space with a 2022 deal with Plexium, highlighting the modality’s expanding appeal in oncology and immunology drug development.
Recent Layoffs:
Allakos (SF) Drops AK006 Program, Cuts Workforce, and Seeks Strategic Alternatives
Following underwhelming Phase 1 results for AK006 in chronic spontaneous urticaria, Allakos has ceased development of the Siglec-6-targeting candidate and plans to wind down clinical, manufacturing, and research activities tied to the drug. The company is laying off 75% of its workforce, retaining only about 15 employees to manage compliance, wrap up ongoing trials, and explore strategic alternatives. Allakos, with $81M in reserves at the end of 2024, expects to spend $34M-$38M on restructuring, leaving $35M-$40M by mid-2025. The biotech is assessing options for its future, including potential wind-downs if no alternatives arise.
IPOs:
Aurion Biotech (WA) Files for IPO Amid Legal Dispute
Aurion Biotech has filed to go public on the NYSE under the ticker “AURN,” aiming to fund the Phase 3 development of AURN001, a cell therapy for corneal endothelial diseases. Alcon Research, an existing investor, is suing Aurion to block the IPO, alleging rights violations. Aurion countersued, accusing Alcon of attempting to undervalue the company for acquisition.
Maze Therapeutics (SF) Files for $113M IPO
Maze’s lead candidate, MZE829, an oral small molecule for APOL1 kidney disease, entered Phase 2 in November with data expected in Q1 2026. Additional assets target chronic kidney disease (MZE782) and phenylketonuria (PKU). $50M of IPO proceeds will fuel preclinical programs in cardiovascular, renal, and metabolic diseases. Following a $115M Series D in late 2024, Maze’s IPO marks the first biotech debut of 2025, signaling potential momentum for Wall Street biotech listings.
Aardvark Therapeutics (SD) Files for IPO to Advance Obesity Treatments
Aardvark is developing ARD-101, an oral TAS2R agonist targeting hunger signals, currently in Phase 3 for Prader-Willi syndrome-associated hyperphagia with data expected in early 2026. Phase 2 trials are planned for hypothalamic obesity later this year. Additional pipeline includes ARD-201, a TAS2R agonist entering Phase 2 for obesity in combination with a DPP-4 inhibitor, and assets for autism, overactive bladder, and skin disorders. Founded in 2017, Aardvark aims to carve out space in the competitive obesity market alongside GLP-1-based therapies.
Other Interesting News:
Moderna Secures $590M from US Government for mRNA Pandemic Influenza Vaccines
Funding will support late-stage development of Moderna’s H5N1 vaccine candidate, mRNA-1018, now entering Phase 3, and clinical studies for five additional influenza subtypes.
Akero Therapeutics (SF) Achieves Breakthrough in MASH Cirrhosis Reversal
Akero’s FGF21 analog, efruxifermin (EFX), demonstrated statistically significant results at 96 weeks, with 29% of high-dose patients reversing cirrhosis in the ITT analysis compared to 12% on placebo (p=0.031). In the completer analysis, 39% of high-dose patients reversed cirrhosis versus 15% of placebo (p=0.009). Data show the effect of EFX on cirrhosis strengthens over time, with a 24-point response gap by Week 96. Analysts highlight Akero as the first to achieve cirrhosis reversal in MASH, calling the phase 3 program “derisked” and potentially positioned for accelerated approval based on 96-week data.
Retro Biosciences (SF) Targets $1 Billion Funding to Advance Longevity Science
Retro’s mission is to extend human lifespan by 10 years through innovative approaches like “zero age” cells, targeting diseases like Alzheimer’s. The company plans to begin human trials in Australia this year for an Alzheimer’s therapy. Retro is pursuing cell therapies, small molecules, microglia treatments, and gene therapies, with an $85M partnership with Multiply Labs for robotics-based production. Backed by OpenAI CEO Sam Altman, Retro is part of a growing wave of well-funded anti-aging biotechs, alongside Altos Labs and BioAge Labs.
