PAQ Therapeutics has successfully completed a $39 million Series B financing round while simultaneously advancing its lead candidate into clinical trials, marking a significant milestone in the company's efforts to develop novel treatments for KRAS-driven cancers.
The Burlington, Massachusetts-based biotechnology company announced that its Series B funding was co-led by MRL Ventures Fund (MRLV) and Bayland Capital, with participation from Johnson & Johnson Innovation – JJDC, Inc., LAV Fund, BioTrack Capital, and existing investor Sherpa Health Partners.
Novel Approach to KRAS-Driven Cancers
PAQ's lead asset, PT0253, is a potent and selective degrader targeting KRAS G12D mutations, which are known drivers for a range of solid tumors. The company has already dosed the first patient in a Phase 1 clinical study during Q1 2025, designed to assess the safety and tolerability of the compound.
KRAS mutations are among the most common oncogenic drivers in human cancers, but they have historically been considered "undruggable" targets. The G12D mutation specifically is prevalent in pancreatic, colorectal, and other aggressive cancers with poor prognosis and limited treatment options.
"The successful completion of our Series B funding and rapid enrollment of our Phase 1 trial in the US for PT0253 mark significant steps forward in our clinical development efforts," said Nan Ji, PhD, PAQ's co-founder, President, and CEO. "The strong support from our investors validates the potential of our innovative approach. We now turn our focus to executing a robust clinical development plan while continuing to develop a differentiated pipeline of KRAS degraders."
Differentiated Mechanism of Action
What distinguishes PAQ's approach is its focus on protein degradation rather than inhibition. While several KRAS inhibitors are in clinical development, degraders may offer advantages in efficacy and durability by completely removing the mutant protein from cancer cells.
According to the company, PT0253 has demonstrated best-in-class potential based on preclinical comparisons to existing agents currently in clinical development targeting the same KRAS mutant. This suggests the compound may overcome limitations seen with current clinical-stage KRAS inhibitors.
Investor Confidence in Novel Approach
The substantial funding reflects strong investor confidence in PAQ's scientific platform and clinical strategy. Olga Danilchanka, Partner at MRLV, the therapeutics-focused corporate venture arm of Merck & Co., emphasized the potential impact of PAQ's work.
"PAQ represents a compelling opportunity to develop transformative therapies for oncology populations with high unmet need," said Danilchanka. "Their innovative efforts advancing the targeted protein degradation modality aligns with our commitment to backing scientifically rigorous teams that tackle pressing medical challenges. We're confident in PAQ's ability to unlock the full potential of KRAS degraders and are proud to support their journey toward achieving clinical impact."
Yuexing Su, Founding Partner at Bayland Capital, added: "The team at PAQ is at the forefront of an innovative approach to treat some of the most underserved patient populations in oncology. We were attracted to PAQ based on its scientific approach, preclinical data, and experienced leadership team. We believe there is tremendous potential for KRAS degraders and are excited to be part of PAQ's next stage of growth."
Expanding the Pipeline
Beyond advancing PT0253 through clinical development, the newly secured funding will support the progression of the company's second asset through IND-enabling studies, further expanding PAQ's pipeline of KRAS degraders.
Founded in 2020, PAQ Therapeutics completed a $30 million Series A financing in 2021. Over the past three years, the company has developed proprietary insights into KRAS biology, which has guided their medicinal chemistry efforts to identify effective KRAS degraders.
The company's approach to targeted protein degradation represents a cutting-edge strategy in oncology drug development. By focusing on complete removal of mutant KRAS proteins rather than simply inhibiting their function, PAQ aims to develop more effective and durable treatments for patients with limited therapeutic options.
As the Phase 1 trial for PT0253 progresses, oncologists and patients alike will be watching closely to see if this novel approach can deliver on its promise to address one of cancer's most challenging targets.
