Foghorn Therapeutics is a biotechnology that can affect one of the ways cells regulate gene expression. It has shown that its method has the potential to resolve specific mutations associated with more than 30 different types of cancer.Eli Lilly believes that the plan and the technology that discovered it is the key to new cancer treatments. The pharmaceutical giant is Commitment of 380 million U.S. dollars Biotechnology to the clinical stage to start a multi-drug research alliance.
According to the terms of the agreement announced on Monday, Eli Lilly has agreed to pay Foghorn US$300 million in cash in advance. In addition, Indianapolis-based Eli Lilly is making a $80 million equity investment in its new partner at a price of $20 per share, which is a premium of nearly 67% over the closing price of the stock last Friday.
Foghorn in Cambridge, Massachusetts, has developed drugs that regulate chromatin, a substance in chromosomes that is made up of DNA and proteins. Cells control gene expression by turning on or off the molecules of genes. This system is called chromatin regulation system. Foghorn describes its method as “gene flow control.” The company’s technology provides an in-depth understanding of the chromatin regulatory system, enabling the identification and verification of potential chromatin drug targets.
Although drug treatment of the chromatin regulatory system has potential applications in virology, immunology, and neurology, cancer is Foghorn’s initial focus. According to biotech companies, cancer mutations that affect the chromatin regulatory system create genetic dependencies on which cancer cells depend. The company uses its technology to develop drugs that target these vulnerabilities.
Foghorn’s internal research has produced a major drug candidate that can block BRG1 and BRM, two proteins that are essential for chromatin regulation. This small molecule drug, code-named FHD-286, is in phase 1 trials for uveal melanoma and acute myeloid leukemia. The alliance with Eli Lilly and Loxo Oncology will focus on the development of cancer drugs for BRM, as well as drugs for other undisclosed oncology targets. The two companies said that data show that there are more than 30 different cancers with BRG1 mutations, accounting for about 5% of all tumors and 10% of non-small cell lung cancer tumors.
“The carcinogenic mutation in BRG1 affects a large number of cancer patients. We believe that it is best to use a highly selective BRM inhibitor for treatment, although designing such a drug is a daunting chemical challenge,” Jacobs, CEO and President of Lilly Loxo Oncology Van Naarden Lilly Oncology said in a prepared statement. “We are very impressed with the progress the Foghorn team has made on this product profile and are excited to work with this talented team.”
The BRM targeted drugs covered by the alliance will use two methods: enzymatic inhibition and targeted protein degradation.There is fierce competition in the field of companies pursuing these two drugs, and Protein degradation has made progress in companies such as Arvinas, Kymera Therapeutics, C4 Therapeutics and Nurix Therapeutics-all companies aim to develop new drugs for the treatment of cancer and other diseases, some of which are done in cooperation with large pharmaceutical companies. Eli Lilly is such a company, it has signed a research alliance with Lycia Therapeutics And the extracellular protein degradation technology earlier this year. Foghorn acknowledges the increasing competition, but it stated in its 2020 annual report that it considers itself the only company capable of large-scale research on chromatin regulatory systems.
Eli Lilly and Foghorn will share equally in the development of BRM targeted drugs.The two companies will share the profits of any BRM targeted drug sales in the United States, while Foghorn will receive royalties from sales outside the United States
The transaction also includes three discovery phase projects based on Foghorn gene flow control technology. For these projects, Foghorn will lead the discovery and early research of these molecules, while Eli Lilly will lead the clinical development and commercialization if approved. These three projects can bring Foghorn up to $1.3 billion in milestone payments. The company will also receive royalties from the sale of these drugs by Eli Lilly. But Foghorn may also participate in the commercialization of these drugs in the United States, and it may exercise this option after the drug candidate completes the dose discovery toxicity study.
Foghorn was founded in 2015 by the venture capital company Flagship Pioneering. The company’s technology is based on research by the academic co-founders of the Dana Farber Cancer Institute and Stanford University, which reveal a new understanding of how mutations can cause disease by disrupting the chromatin regulatory system.Biotechnology Listed In October 2020, US$120 million was raised.
The Eli Lilly Alliance is Foghorn’s second alliance. Last year, Merck signed a contract as a partner, prepaying 15 million US dollars for the discovery and development of small molecule drugs that destroy transcription factors, which are proteins that turn genes on and off. The specific targets of these drugs have not been disclosed. This transaction can bring Foghorn up to $245 million in R&D and regulatory milestone payments.
Photos of Flickr users Paul Sebrman Through knowledge sharing license
