Gilead Sciences is acquiring a 49.9% equity interest in Pionyr Immunotherapeutics, a privately held San Fran company developing first-in-class cancer immunotherapies.
The acquisition – for $275 million – also provides Gilead with an exclusive option to purchase the remainder of the company.
Under the agreement, Pionyr’s shareholders may receive up to an additional $1.47 billion in option exercise fees and future milestone payments.
Pionyr’s Myeloid Tuning therapies have the potential to treat patients who currently do not benefit from checkpoint inhibitor therapies. PY314 and PY159 have demonstrated preclinical efficacy, suggesting potential in solid tumours in combination with established anti-PD(L)-1 agents.
Pionyr plans to file investigational new drug (IND) applications with the FDA for both PY314 and PY159 in the third quarter of this year. Pending Phase 1b results from either candidate – or sooner if Gilead chooses – Gilead can exercise its exclusive option to acquire the remainder of Pionyr.
“Pionyr is pursuing promising, novel biology in the field of immuno-oncology,” said Daniel O’Day, Chairman and Chief Executive Officer, Gilead Sciences.
“The agreement represents important progress as we continue to build out Gilead’s presence in immuno-oncology with innovative and complementary approaches.”