U.K. government investing $800 million in life sciences

In an effort to boost the U.K.'s faltering biopharma industry, the country will invest $800 million into the life sciences. This includes $190 million earmarked for the U.K. Biobank, as well as funding for mental health research and clinical trial optimization. The government initiative comes as the biopharma industry has raised concerns over policies that it says deter companies from investing in the country.

A newly released review commissioned by the U.K. government points out the number of Phase 3 industry clinical trials there fell by 48% from 2017 to 2021.

"Countries like Spain and Australia have stolen a march on us, with companies choosing to initiate more trials in each of these countries compared to the U.K. in what is an increasingly competitive global marketplace," it said.

biotech

Illumina shareholders vote to oust company chairman

Illumina shareholders voted to replace the company's chairman with one suggested by activist investor Carl Icahn yesterday. The embattled sequencing company did manage to stave off efforts to oust other leadership, including CEO Francis deSouza. Andrew Reno, a portfolio manager at Icahn Capital, will replace John Thompson, the former CEO of software firm Symantec who until now has served as Illumina's chairman.

The vote shows how shareholders have lost faith in the company's strategy, particularly its decision to buy its spinout Grail for $8 billion without regard to U.S. and European regulators. It's possible that the company will be forced to divest the cancer diagnostics firm at a much lower valuation. Since July 2021, when the Grail deal was announced but after it ran into regulatory trouble, Illumina's shares have plummeted more than 60%.

podcast

Can AI diagnose a disease?

Are Wegovy's days numbered? And what makes AI hallucinate? We cover all that and more this week on "The Readout LOUD," STAT's biotech podcast.

As hospitals and health care companies are racing to implement large language models like ChatGPT into their businesses, STAT reporter Casey Ross joins us to explain what experts want the world to know before embracing generative AI. We also discuss the latest twist for Sarepta Therapeutics and the quest to develop more potent weight loss medicines.

Listen here.

clinical trials

Bristol drug beats standard of care for bone marrow disease

Reblozyl, a Bristol Myers Squibb medicine used in blood disorders like anemia and beta thalassemia, was nearly twice as effective as standard therapy for some patients with myelodysplastic syndrome. The cancer-like bone marrow disease decreases the number of healthy blood cells, making patients more prone to infections and severe anemia. Reblozyl works by boosting the maturation of late-stage blood cells.

"These results are really strong, and I think it will likely establish luspatercept [Reblozyl] as the new standard of care for upfront treatment," the study's lead investigator told STAT. The data will be presented at ASCO next week. Bristol has submitted the results from this study to the FDA as well as European regulators, with hopes to expand the drug's prescription label so it can be used as a front-line treatment for lower-risk MDS. The FDA decision is expected Aug. 28.