SPR-720

Matinas BioPharma first reported in August that it had signed a non-binding term sheet for global licensing rights to MAT2203 for all future treatment indications. Image credit: Yellow_man / Shutterstock. Matinas BioPharma has halted all product development activities and fired 80% of its staff, including three members of senior management, in an effort to save resources after the partnership negotiations for its lead antifungal therapy were terminated. The company noted that the workforce reductions would occur with immediate effect. According to a Matinas press release, the company’s board is evaluating all alternatives, including the asset sale of MAT2203 (oral formulation of amphotericin B) and the potential wind-down and dissolution of the company. The company’s stock took a nosedive following the news. It is currently trading at $0.67, down by 65.2% compared to the market close yesterday (30 October). Martinas BioPharma’s market cap currently stands at $3.5m, with the company reporting cash reserves of $14.3m as of 30 June, as per the company’s Q2 financials. In August, Martinas reported that it had signed a non-binding term sheet for global licensing rights to MAT2203 for all future treatment indications. The company did not disclose the partner’s name or the financial details of the deal, only that it was preparing to start a Phase III registrational trial for the therapy following the partnership announcement. The study was expected to evaluate the therapy as an oral step-down monotherapy for patients with invasive aspergillosis following treatment with AmBisome (liposomal amphotericin B). MAT2203 was designed using the company’s lipid nanocrystal (LNC) platform to overcome the safety and toxicity limitations of intravenous amphotericin B. Despite being indicated to treat invasive fungal infections, intravenous amphotericin B is known to be toxic to kidneys and liver, with approximately 80% of patients developing infusion-related adverse effects or nephrotoxicity. Although there is an increased need for antimicrobial therapies , the field has not seen much success in recent years. Spero Therapeutics’ prodrug antibiotic SPR720 failed to meet the primary endpoint in a Phase IIa trial in patients with non-tuberculous mycobacterial pulmonary disease. AN2 Therapeutics also had to suspend development for its lead antibiotic, epetraborole, after it failed to show efficacy in the Phase II/III trial (NCT05327803). Itreum Therapeutics was able to receive approval from the US Food and Drug Administration (FDA) for its antibiotic Orlynvah (sulopenem etzadroxil and probenecid) for treating uncomplicated urinary tract infections (uUTIs). The agency approved the therapy’s use for treating uUTIs caused by E. coli, Klebsiella pneumoniae or Proteus mirabilis in women who have limited or no alternative antibacterial treatment options.

Plus, news about Zai Lab, Spero Therapeutics and EyePoint Pharmaceuticals: Leal Therapeutics raises $45M: The biotech, which emerged from stealth earlier this year, said the financing was led by Newpath Partners. Other investors included Chugai Venture Fund and OrbiMed. It’s developing CNS treatments, with plans to file INDs for two therapies by the end of this year. — Jaimy Lee SynOx raises $17M in Series B extension: The UK biotech plans to use the funds to support a Phase 3 test of its monoclonal antibody, called emactuzumab, in tenosynovial giant cell tumor, a form of rare, non-malignant growth. SynOx has already dosed the first few patients in the trial. The extension brings the company’s total Series B proceeds to $92 million. — Ayisha Sharma Zai Lab passes Phase 3 test for KarXT in China: Bristol Myers Squibb’s schizophrenia drug appears poised to reach the Chinese market after partner Zai Lab reported positive Phase 3 data there . A Phase 3 bridging study met the primary endpoint, demonstrating a statistically significant 9.2 reduction in a measurement of schizophrenia symptoms compared to placebo. — Max Bayer Spero fails proof-of-concept Phase 2a trial, lays off staff: The company ended development of the asset after an interim analysis of SPR720 found it did not meet the primary endpoints of a mid-stage trial for patients with nontuberculous mycobacterial pulmonary disease. Spero said the drug did not show “sufficient separation from placebo” and potential dose-limiting issues at the 1,000 mg dose level, exemplified by three grade 3 cases of hepatotoxicity that were eventually reversed. The company, which had 46 employees as of Dec. 31, is now laying off 39% of its workers. — Max Bayer EyePoint upsized its public offering. It now expects to raise $140 million instead of $100 million . — Jaimy Lee