BerGenBio pivots and merges with radiopharma firm Oncoinvent after drug failure

BerGenBio is merging with fellow Norwegian biotech Oncoinvent after the failure of its lead cancer drug, shifting focus to Oncoinvent’s radiopharmaceutical asset Radspherin, now in phase 2 trials.

Why it matters: The merger salvages value for BerGenBio shareholders and strengthens Oncoinvent’s pipeline and financial resources, positioning the combined company to lead in peritoneal cancer treatment.

Backstory: BerGenBio halted development of its AXL inhibitor bemcentinib after poor phase 2 results in lung cancer. With few remaining assets, it explored strategic options, leading to the Oncoinvent deal.

Big picture: The merger reflects a growing trend in biotech of consolidation after clinical setbacks. It also highlights increasing momentum in radiopharmaceuticals, a field gaining traction for its targeted cancer treatments.

Who’s the boss: Oncoinvent’s shareholders will control 75% of the new company; BerGenBio’s shareholders will hold 25%.

Money bag: The deal brings an additional 45 million kroner ($4.5 million) to fund Oncoinvent's clinical trial plans. A fully underwritten rights issue of 130 million kroner ($12.9M) is also planned to extend Oncoinvent’s runway into 2027.

Insider: Oncoinvent’s founders previously developed Xofigo, a radiopharma drug acquired by Bayer for $2.9B in 2014.

What’s next: Radspherin (radium-224) is being tested for peritoneal cancers post-surgery in colorectal and ovarian cancer patients with results expected in the second half of 2026.