Bayer and Kumquat Biosciences announced on August 12, 2025, an exclusive global license and collaboration agreement worth up to $1.3 billion to develop and commercialize Kumquat's KRAS G12D inhibitor. The partnership targets one of oncology's most challenging areas, focusing on pancreatic, colorectal, and lung cancers where effective treatment options remain limited.
Addressing a Critical Unmet Medical Need
KRAS mutations occur in nearly 25 percent of human cancers, yet the most prevalent and oncogenic KRAS G12D variant still lacks effective treatment options. The mutation is particularly significant in pancreatic ductal adenocarcinoma (PDAC), where it appears in 37 percent of cases, 13 percent of colorectal cancers, and 4 percent of non-small cell lung cancers.
"KRAS mutations are crucial for cancer development and can be targeted with specific therapies in a more selective manner," said Dominik Ruettinger, M.D., Ph.D., Global Head of Research and Early Development for Oncology at Bayer's Pharmaceuticals Division. "We look forward to exploring the investigational KRAS G12D inhibitor, which targets a highly relevant signaling pathway that promotes tumor growth and survival."
Strategic Partnership Structure
Under the agreement terms, Kumquat will receive up to $1.3 billion, including upfront payments, clinical and commercial milestones, and additional tiered royalties on net sales. The company retains an exclusive option to negotiate for participating in profit-loss sharing in the United States.
Kumquat received U.S. Food and Drug Administration clearance of the investigational new drug (IND) for its KRAS G12D inhibitor in July 2025. The partnership divides responsibilities strategically: Kumquat will initiate and complete the Phase Ia study, while Bayer will handle subsequent development and commercial activities.
Targeting Pancreatic Cancer's Devastating Impact
The collaboration addresses particularly urgent needs in pancreatic cancer treatment. PDAC represents the most common type of pancreatic cancer, accounting for 85 percent of cases, and remains one of the most difficult tumors to treat. Patients have few treatment options beyond chemotherapy, with the five-year survival rate being less than 10 percent.
Pancreatic cancer ranks as the sixth leading cause of cancer-related death worldwide, with incidence continuing to rise annually. Projections indicate a 95.4 percent increase in new cases by 2050, potentially reaching a total of 998,663 new cases globally.
Company Leadership Perspectives
"We are constantly evaluating innovative approaches to improve outcomes for patients, focusing on areas of high unmet medical need," said Juergen Eckhardt, M.D., Head of Business Development and Licensing at Bayer's Pharmaceuticals Division. "We look forward to collaborating with Kumquat, an accomplished team of experts with deep KRAS insights."
Yi Liu, Chief Executive Officer of Kumquat, emphasized the collaboration's validation of their platform: "Since pioneering the direct targeting of KRAS G12C mutation over a decade ago, we have continued to discover innovative strategies to target other KRAS mutants, including KRAS G12D. This collaboration with Bayer validates the strength of our platform and the potential of our KRAS G12D candidate to address long-standing unmet needs in oncology."
Strategic Portfolio Enhancement
The deal complements Bayer's precision oncology development portfolio, particularly in pancreatic, colorectal, and lung cancer areas. For Kumquat, founded in 2019 and previously backed by OrbiMed, HSG, EcoR1, Lilly Asia Ventures, Roche Venture Fund, and Boxer Capital, the partnership provides substantial financial resources to accelerate its broader clinical pipeline.
"This collaboration provides Kumquat the financial resources to accelerate its broader clinical pipeline for long-term value, and position Kumquat to deliver life-changing medicines and achieve sustained growth in the coming years," Liu added.
The partnership represents a significant investment in targeting oncogenic driver mutations, which are changes in DNA that drive cancer development and growth. These mutations offer opportunities to develop target-specific drugs that can address cancer in a more selective manner than traditional chemotherapy approaches.
