Boehringer adds to cancer drug pipeline with deal for startup Nerio

The German pharmaceutical company is acquiring San Diego-based Nerio and its checkpoint inhibitor research for up to $1.3 billion.

Published July 29, 2024

Boehringer Ingelheim is investing again in immuno-oncology, announcing Monday a deal to acquire the San Diego-based biotechnology startup Nerio Therapeutics and its slate of preclinical drug candidates.

Worth up to $1.3 billion, the acquisition hands Boehringer access to a research program the German pharmaceutical company envisions as a “potential key centerpiece” of its immuno-oncology drug portfolio. Nerio’s small molecule drugs are designed to block enzymes known as PTPN1 and PTPN2 that brake the body’s immune response to tumors.

Targeting such “immune checkpoints” has animated much of cancer research and development over the past decade, with mixed results. Checkpoint inhibitors aimed at the proteins PD-1, PD-L1 and CTLA-4 have transformed treatment for many tumors, but drugmakers haven’t been as successful outside of those targets.

In a statement, Boehringer said it believes Nerio’s small molecules could be potent enough to work as cancer treatment on their own, as well as in combination with other candidates the pharma is currently advancing.

“Securing the rights to Nerio Therapeutics’ novel checkpoint inhibitors creates a broad panel of exciting new cancer treatment combination opportunities,” said Paola Casarosa, a member of Boehringer’s board of managing directors.

The company did not disclose how much of the deal’s value will be paid upfront.

On Nerio’s website, the company says it expects to ask the Food and Drug Administration later this year for clearance to begin clinical testing with its lead asset.

The company is backed by Avalon BioVentures and Alexandria Venture Investments, along with a few others. Its co-founders and current executives previously ran Calporta Therapeutics, which Merck & Co. acquired in 2019.

https://www.biopharmadive.com/news/boehringer-ingelheim-nerio-acquire-checkpoint-inhibitor/722623/