Recent Funding:
Arnatar Therapeutics (SD) Emerges from Stealth with $52M Series A and FDA Designations
Arnatar launched with $52M in Series A funding to advance RNA-based therapies, including ART4, an antisense oligonucleotide for Alagille Syndrome. ART4 received both Orphan Drug and Rare Pediatric Disease designations, positioning it as a potential first treatment option for children with this life-threatening genetic liver disorder.
Lighthouse Pharmaceuticals (SF) Receives $49.2M NIH Grant for Alzheimer’s Trial
Lighthouse Pharma secured $49.2M from the NIH’s National Institute on Aging to fund a 300-patient Phase 2 trial of its oral therapy LHP588 for Alzheimer’s patients with P. gingivalis infection. The therapy targets a bacterial enzyme linked to neuroinflammation and cognitive decline, aiming to slow disease progression in a new, precision approach.
M&A, Deals, Partnerships:
Kite (LA) Acquires Interius Bio for $350M to Advance In Vivo CAR-T
Kite, a Gilead company, is buying Interius BioTherapeutics for $350M to bring in vivo CAR-T technology that generates CAR-T cells directly inside the body. Unlike traditional CAR-T requiring cell harvesting and re-engineering, Interius’s approach could make treatment faster, simpler, and more widely accessible with a single IV infusion.
XOMA (SF) Acquires Mural Oncology for $2.03/Share
XOMA Royalty is buying Mural Oncology in its third acquisition this month, following HilleVax and Lava Therapeutics, as part of a strategy to scoop up struggling biotechs. Mural, an Alkermes spinout that recently ended development of its IL-2 drug and laid off staff, was trading below its cash value — highlighting XOMA’s focus on buying “negative enterprise value” biotechs to unlock assets and capital.
FDA Approvals:
Ionis Pharmaceuticals (SD) Wins FDA Approval for RNA-Targeted HAE Therapy DAWNZERA
Ionis received FDA approval for DAWNZERA (donidalorsen), the first RNA-targeted therapy to prevent hereditary angioedema (HAE) attacks, given once every 4–8 weeks by autoinjector. Phase 3 results showed DAWNZERA cut monthly HAE attacks by 81% versus placebo, with up to 94% attack reduction after one year, making it a potential new standard for HAE patients.
Other Interesting News:
In its Phase 2 VENTURE trial, Viking’s oral GLP‑1/GIP dual agonist VK2735 delivered up to 12.2% body weight loss over 13 weeks compared to just 1.3% for placebo. Most side effects were mild or moderate. Despite the results, the stock plunged nearly 40% as high discontinuation rates—up to 38% at the top dose—raised concerns about tolerability.
Investor Sentiment Shifts on Obesity Drug Market
Despite blockbuster sales of Lilly’s Zepbound and Novo’s Wegovy, recent trial disappointments (Novo’s CagriSema, Lilly’s oral orforglipron, Viking’s candidate) have driven stocks down — with Novo and Viking off ~35% this year. Private funding momentum is also cooling, with just one Q2 raise ($33M for Syntis Bio), suggesting investors are waiting for next-gen drugs that are more durable, tolerable, and lifestyle-compatible.
Biotech Investors Shift Focus Amid Turbulent 2025
The first half of 2025 saw heavy headwinds: federal shakeups, equity market crashes, and record layoffs, leaving many biotechs trading below cash. Still, VCs remain active in oncology, immunology, cardiorenal, and neuropsychiatric therapeutics, while private biotechs are drawing interest from pharma buyers to offset looming patent cliffs.
