QEL-001

Quell CEO Iain McGill\n Quell Therapeutics is pressing pause on an engineered regulatory T (Treg) cell therapy for liver transplant patients in order to focus resources on a preclinical autoimmune candidate.The London- and Boston-based biotech had been evaluating QEL-001, an autologous engineered CAR-Treg therapy, in a phase 1/2 trial to see whether the candidate can stop organ rejection and end the need for lifelong immunosuppression among liver transplant patients.At one point, the company had touted QEL-001 as a “potentially transformational paradigm for these patients” that could “bring targeted and durable immune tolerance and eliminate their need for chronic immunosuppression.”But Quell has decided to pause the study, according to an quarterly update from life sciences investor Syncona, which owns a 33.7% stake in the biotech.Instead, the capital earmarked for QEL-001 has been rerouted to another CAR-Treg called QEL-005. Quell has previously branded QEL-005 as “pipeline-in-a-product for complex rheumatic autoimmune diseases.”QEL-005 has yet to enter the clinic, although Quell has plans to launch a phase 1 study in patients with rheumatoid arthritis and systemic sclerosis in the first half of this year. Quell describes the approach of QEL-005, which uses a CD19 CAR and is intended to reduce modulating multiple immune cell types rather than simply kill B cells, as “chill not kill.”While QEL-001’s future looks in doubt, Quell said data from the phase 1 study had “provided the company with key insights that de-risk the QEL-005 [program], which could access a potentially larger commercial opportunity.”Syncona noted that the switch in strategy would push back Quell’s key inflection point from this year into 2027, but the investor said it is “encouraged by the technical progress in the field and supports management’s decision to allocate capital to the [program] with the best risk adjusted return.”Quell’s founding hypothesis is that Treg cell therapies can stop immune attacks in a targeted way. The idea combines the role Tregs play in the body, where they calm unwanted immune responses, with CARs like the targeting technology that enables cancer cell therapies.The biotech has found a willing Big Pharma partner in the form of AstraZeneca, which paid $85 million upfront in 2023 to enter into an exclusive option and license agreement for assets in Type 1 diabetes and inflammatory bowel disease.  

Plus, news about Quell Therapeutics, Third Arc, BARDA and ALTx Therapeutics: ⛩️ Eisai teams with Henlius: The Tokyo-based pharma will get the Japanese commercialization rights to the Shanghai biotech’s anti-PD-1 called serplulimab. Henlius’ medicine is approved in China as Hansizhuang and Hetronify in the EU. Eisai will pay $75 million upfront, plus regulatory biobucks of as much as $80 million and sales milestones of up to $233 million. — Kyle LaHucik 🗽 LB Pharmaceuticals lands $100M: The NYC-based biotech secured the private placement from Balyasny Asset Management, Caligan Partners, TCGX and others. The money will help fund a Phase 2 test of its drug LB-102 as an adjunctive treatment for major depressive disorder. The medicine is also expected to enter Phase 3 in schizophrenia and recently entered Phase 2 in bipolar depression. LB went through a $285 million IPO last September. — Kyle LaHucik 🫸 Quell Therapeutics pauses liver transplant drug : The company put the Phase 1/2 LIBERATE study of its engineered CAR-Treg cell therapy QEL-001 on hiatus . Quell will spend the saved cash on developing another asset, the CD19 CAR-Treg QEL-005, for rheumatologic autoimmune diseases. It plans to start a Phase 1/2 trial called CHILL in RA conditions and systemic sclerosis this year, with a readout due in 2027. — Elizabeth Cairns ⛽ Third Arc adds more fuel: The oncology and I&I biotech replenished with a $52 million extension to the $165 million Series A it originally outlined in July 2024. Spring House, PA-based Third Arc is led by former Johnson & Johnson oncology R&D leader Peter Lebowitz. The company recently did a T cell engager deal with China and US biotech Adagene . — Kyle LaHucik 🏆 BARDA’s $100M prize for antiviral drugs: The Biomedical Advanced Research and Development Authority has opened its $100 million fund called the Small Molecule Approaches for Rapid and Robust Treatment (SMART) Antiviral Prize for small molecule antiviral drugs targeting viruses in the Togaviridae and Flaviviridae families. SMART is open to drug development, virology, artificial intelligence, medicinal chemistry and public health experts. The first stage is to submit a concept paper to BARDA outlining plans to discover small molecule antivirals . — Anna Brown 💷 UK cancer startup nets £12.55M: ALTx Therapeutics launched with funding from Syncona, the Francis Crick Institute and Cancer Research Horizons. The startup was founded on work from Crick scientist Simon Boulton. It plans to tackle a pathway some cancers rely on called the Alternative Lengthening of Telomeres, or ALT, pathway. — Lei Lei Wu