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Illumina's job cuts, Nkarta's cancer data, & Mounjaro in the U.K.

June 27, 2023
National Biotech Reporter
Good morning, everyone. Damian here with news of cuts at Illumina, the end of boardroom saga, and the latest on in-demand obesity drugs.

Sequencing

Illumina is cutting into its research staff

Illumina, in the middle of a managerial shake-up, is laying off 10% of its research and development team, according to internal emails reviewed by STAT.

As STAT's Jonathan Wosen reports, the genome sequencing giant is cutting jobs at locations in the U.S., U.K., and Singapore in a process that began last week. There are more cuts to come, interim CEO Charles Dadswell said in a message to employees, promising Illumina "will make these changes transparently and quickly."

The news comes months after Illumina said it would cut costs by $100 million, part of the company's response to an activist challenge from the investor Carl Icahn. Shareholders removed Illumina's chairman at the company's annual meeting last month, after which CEO Francis deSouza abruptly resigned. Meanwhile, the company's $8 billion acquisition of early cancer detection firm Grail is looking precarious after U.S. regulators ordered Illumina to divest it and European regulators signaled they will soon do the same.

Read more.



Oncology

Nkarta rethinks treatment with natural killer cells

Just over one year ago, Nkarta reported preliminary results from a clinical trial of NKX101, an off-the-shelf cancer treatment made from engineered natural killer cells: Three of five patients with acute myeloid leukemia, or AML, achieved complete remissions. 

Today, Nkarta reported an update on the NKX101 study with less encouraging results. Two of the responding patients relapsed and died relatively quickly, and the third patient remains in remission but only after a curative stem-cell transplant. An additional 13 patients with advanced AML were treated with NKX101 but none achieved a complete remission. 

The disappointing outcome has the company rethinking its dosing strategy. Nkarta is now using a more aggressive chemotherapy regimen to prepare patients for treatment. The process, called lymphodepletion, blunts a patient's immune system so that the natural killer cells in NKX101 can do their work. It also amplifies a specific molecule on leukemic cells that NKX101 relies on for a target. 

Three of six patients with advanced AML offered the modified regimen have achieved complete remissions, Nkarta also reported Tuesday. All of the patients had AML that was particularly resistant to treatment, or with other characteristics that made complete remissions less likely, so the responses to the new lymphodepletion regimen and NKX101 are encouraging, said Nkarta Chief Medical Officer David Shook.

But the follow-up is still too short to determine if the responses will be durable, Shook acknowledged, which leaves the company in much the same position as it was last year. Nkarta expects to enroll another 12-20 patients and provide an update in the first half of next year. 


Biotech

Biogen shareholders back Susan Langer

Biogen shareholders voted to add biotech executive Susan Langer, who is the romantic partner of departing director Alex Denner, to its board of directors yesterday, concluding a weekslong episode that led some investors to question the company's leadership.

Langer, 32, will join the eight-member board for a one-year term. Denner, who nominated her, did not stand for reelection. The results of Monday's shareholder vote remain preliminary, and Biogen said it will disclose the final tally within four business days.

Biogen did not disclose the relationship between Denner and Langer when it announced her candidacy June 12, a decision that rankled some investors and former employees of the company. Doron Junger, who leads the hedge fund Sanvia Capital, wrote on Twitter that Biogen's omission of the relationship "was ill-conceived, leaving us and others with the sense that the company attempted to conceal it."

Read more.


GLP-1

Not everyone's sold on Mounjaro

A U.K. agency that regulates the cost-effectiveness of medicines said it will not recommend Eli Lilly's rival to the in-demand diabetes drug Ozempic until the company provides more evidence of its long-term benefits.

As STAT's Andrew Joseph reports, the National Institute for Health and Care Excellence, or NICE, acknowledged that Lilly's Mounjaro demonstrated significant effects on blood sugar and body weight but took issue with "uncertainties in the clinical evidence" when it comes to diabetes-related complications and cardiovascular health. In a statement, Lilly said it would work with NICE to resolve those questions.

Lilly's treatment, approved in the U.S. for type 2 diabetes, appears to be more potent than Ozempic and Wegovy, made by Novo Nordisk, leading to multibillion-dollar estimates tied to its future as a medicine for obesity. In the U.K., NICE has recommended Novo Nordisk's drugs, but global demand has made them difficult to come by.

Read more.


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More reads

  • Ozempic 3.0? Lilly's 'triple-G' drug shows biggest weight loss yet in mid-stage trial, STAT
  • Lundbeck replaces retiring CEO Dunsire with UCB exec after breaking sales record, Fierce Pharma
  • The uphill battle for getting Medicare to cover Grail's cancer screening test, STAT    

Thanks for reading! Until tomorrow,


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