Melbourne-based biotechnology firm Percheron Therapeutics has secured exclusive global rights to develop HMBD-002, a promising immuno-oncology drug candidate targeting the VISTA immune checkpoint, in what the company describes as a "transformative" licensing deal with Singapore's Hummingbird Bioscience worth up to $290 million.
The agreement grants Percheron worldwide rights to develop, manufacture and commercialize the monoclonal antibody, which represents a potential first-in-class therapy targeting VISTA (v-domain immunoglobulin suppressor of T-cell activation), a checkpoint protein involved in the immune system's ability to recognize and combat cancer cells.
Financial Terms and Milestone Structure
Under the licensing agreement, Percheron will pay Hummingbird an upfront payment of $3 million, with potential milestone payments reaching up to $287-290 million tied to clinical, regulatory and commercial achievements. The deal also includes tiered royalties on future net sales of any approved product.
Dr. James Garner, CEO of Percheron Therapeutics, emphasized the strategic importance of the acquisition: "We selected HMBD-002 out of more than a hundred individual drug candidates from more than seventy companies, and we very much hope that this exciting program can bring meaningful benefit to patients confronting the enormous challenge of a cancer diagnosis."
Clinical Development Progress and Timeline
HMBD-002 has successfully completed a Phase I clinical trial in the United States under an Investigational New Drug application with the FDA. The study, conducted at prestigious institutions including MD Anderson Cancer Center and Cedars-Sinai Medical Center, demonstrated that the drug was pharmacologically active and generally safe and well-tolerated.
Percheron aims to initiate a Phase II clinical trial for HMBD-002 in 2026, following completion of the asset transfer from Hummingbird over the coming months. The company is currently in consultation with clinical experts to refine the drug's development strategy and plans to submit a detailed clinical development plan in preparation for the Phase II trial.
VISTA as a Novel Therapeutic Target
VISTA has emerged as a promising target in immuno-oncology, with preclinical data suggesting that blocking VISTA could reinvigorate immune responses in cancers that resist existing checkpoint inhibitors like PD-1 or CTLA-4. The drug has demonstrated promising preclinical synergy when used in combination with PD-1 inhibitors such as pembrolizumab (Keytruda), positioning it as a potential game-changer in cancer immunotherapy.
Dr. Piers Ingram, co-founder and CEO of Hummingbird Bioscience, noted the scientific rationale behind the asset: "Given the potential benefits of VISTA blockade in multiple cancers that have strong evidence of VISTA-mediated immune suppression, HMBD-002 is a scientifically compelling asset for both monotherapy and combination approaches."
Strategic Repositioning for Percheron
The licensing agreement represents a significant strategic shift for Percheron, which had previously focused on rare disease treatments. This pivot to immuno-oncology comes following the company's decision earlier this year to shift focus away from its previous asset, avicursen (ATL1102), after disappointing clinical trial results.
"This is a transformative step for our company," said Dr. Garner. "After the challenges of recent months, we are once again a mid-clinical-stage drug development business. We remain absolutely committed to answering unmet medical need."
Hummingbird's Portfolio Focus
For Hummingbird Bioscience, the licensing deal aligns with the company's strategic decision to focus on other key programs in its pipeline, including HMBD-001 and the HER3 program, while making HMBD-002 available for partnering.
"We are pleased to pass the baton on HMBD-002 to the Percheron team," said Dr. Ingram. "We have invested considerable resources and energy into the HMBD-002 program and are delighted to see it continue to move forward under Percheron's oversight. We remain strong believers in the asset, and we look forward to seeing Percheron's success as it returns to the clinic."
HMBD-002 is positioned to be a first-in-class therapy targeting VISTA, with no other approved drugs currently targeting this protein, potentially offering new treatment options for cancer patients whose tumors have become resistant to existing immunotherapies.
