Calypso Biotech BV – a leader in developing Interleukin15 (IL-15) targeted therapies – recently announced that it has agreed to be acquired by Novartis AG. And Calypso’s shareholders will receive an upfront payment of $250 million upon closing and are eligible to receive development milestones of up to $175 million based on the achievement of certain predetermined milestones.
Calypso (a spin-out from Merck) is also focused on researching and developing monoclonal antibodies for an array of autoimmune indications, with expertise in IL-15 biology. And IL-15 is a broad and untapped immune axis that controls barrier function and downstream immune cascades in many chronic autoimmune diseases. Calypso’s lead product candidate CALY-002 is a potential best-in-class therapeutic antibody that binds to and neutralizes Interleukin-15.
The deal gives Novartis full rights to CALY-002. And Novartis plans to further explore CALY-002 across various autoimmune indications with high unmet medical need. CALY-002 is currently evaluated in a Phase 1b trial in patients with Celiac Disease and Eosinophilic Esophagitis.
Lazard acted as financial advisor, and Goodwin Procter LLP acted as Calypso’s legal counsel.
KEY QUOTES:
“We are excited for this transaction with Novartis, a company with relentless commitment to the development of innovative therapies for autoimmune conditions. As part of the Novartis portfolio, CALY-002 is in the best position to be developed effectively, so that it can promptly address unmet medical needs in multiple indications”
— Alain Vicari, Chief Executive Officer & Co-Founder, Calypso
“The transaction with Novartis constitutes the high point in the development path of CALY-002 for the Calypso team. Calypso has established a significantly de-risked profile for CALY-002 as a potential best-in-class therapeutic anti-IL-15 antibody”
— Bernard Coulie, Chairman, Calypso
“Novartis is committed to bringing innovative treatment options forward for patients living with immunological diseases. We’re thrilled to add Calypso’s potential best-in-class antibody to our Immunology pipeline and explore it in a spectrum of autoimmune indications.”
— Richard Siegel, Head of Immunology Research at Novartis
