JPM 2025: Gilead inks inflammatory deal with LEOJPM 2025: Gilead inks inflammatory deal with LEO

Gilead disclosed the strategic partnership ahead of the 43^rd annual JP Morgan (JPM) healthcare conference in San Francisco, California. The partnership will aim to develop and commercialize LEO’s small molecule oral signal transducer and activator of transcription 6 (STAT6), which is a potential treatment for patients with inflammatory diseases.

Gilead will provide LEO with a $250 million upfront payment. Additionally, LEO has the potential to receive up to $1.7 billion in total payments, as well as tiered royalties based on the sales of oral STAT6 products.

STAT6 is the specific transcription factor needed for IL-4 and IL-13 cytokine signaling, which are clinically validated targets for Th2 mediated inflammatory conditions such as asthma, atopic dermatitis, and COPD, as well as others. Targeting STAT6 has demonstrated the possibility of treating a wide population of patients and provide an oral alternative to those currently using injectable biologics.

“We're very pleased to welcome the STAT6 protein degrader into our family from LEO Pharma, that has a potential to really have us think about our inflammation strategy both as a single agent and in combination,” said Daniel O’Day, CEO of Gilead, at the JPM conference.  

“And to put that into context, we now have more than 10 kind of potential first-in-class programs in Phase II and Phase III, and 15 potential first-in-class in the pre-IND and Phase I.”

While Gilead will gain the global rights to develop, manufacture, and commercialize the small molecule STAT6 program, LEO has the option to potentially co-commercialize oral programs for dermatology outside the US and the company retains exclusive global rights to STAT6 topical formulations in the same indication.

O’Day seemed positive that “STAT6 is a pathway that will be tested and be very successful in a number of large inflammatory diseases” and outlined that Gilead wants “to continue to support partnerships and M&A to support [its] portfolio over time.” Additionally, he said the firm feels “exceptionally strong going into 2025” and it has “the most diversified pipeline in our history.”