Biogen has struck a deal with a new biotechnology company launched by Versant Ventures, for the research and development of experimental drugs for immune conditions.
Announced Monday, the deal includes a $50 million upfront payment to Dayra Therapeutics to “identify, validate and optimize oral macrocycle candidates for high-priority immunological targets.” Biogen will lead development and, potentially, commercialization and manufacturing.
Dayra debuted on Monday as well, equipped with over $70 million, including an undisclosed equity commitment from Versant. Based in Toronto, Dayra is part of Versant’s Frontier Discovery Engine. The biotech is in a “very strong position,” said Rami Hannoush, its acting CEO and a venture partner at Versant, in a statement detailing the Biogen collaboration.
Per deal terms, Biogen will also have the option to acquire candidates from Dayra for an additional undisclosed payment per program. Additionally, Dayra is eligible to receive payments tied to preclinical and clinical development milestones per program.
The companies did not disclose specific targets.
“With this collaboration, we are adding another potential best-in-class approach to our early-stage portfolio to target multiple high-value immunological conditions,” said Jane Grogan, Biogen's head of research, in a statement.
The deal with Dayra centers around its oral macrocyclic peptides, which the company said have the “potential to offer biologic-like efficacy and safety in an oral format” compared to common infusion or injection immunology drugs. The molecules can also selectively target proteins associated with certain diseases, unlike traditional small molecule drugs that may have off-target effects.
Dayra isn't the only recently launched biotech trying to combine the strengths of small molecule drugs and biologics. Orbis Medicines, which launched in January, is similarly pursuing oral macrocyclic peptides for targets thought “undruggable.”
The collaboration with Dayra is Biogen’s latest push into immunology, which has become a growing focus for the company. Best known for its work in neurological disorders, it has invested more heavily on drugs for rare diseases and immune conditions over the past several years.
In its bid to diversify, Biogen hired Grogan, a Genentech veteran, and has inked several M&A and licensing deals. Last year, the company entered a deal worth at least $1.15 billion to acquire the immune drugmaker HI-Bio. And just last month, Biogen paid $70 million up front for exclusive, worldwide rights to an experimental drug from Vanqua Bio to treat inflammatory disorders.
