Daily Snap - 8. August 2025

Author

Joachim Eeckhout
August 08, 2025

Good morning! A new study suggests that just looking at someone who seems sick might kick your immune system into gear before you’re even exposed to germs. In an experiment with 248 volunteers, researchers used virtual reality to show faces that looked ill—coughing, with rashes, or other sickly signs—alongside neutral or fearful faces. When people saw the sick ones, their brains reacted in ways linked to spotting threats, and their immune systems ramped up certain “first responder” cells. So don't be surprised if your next flu jab comes with a VR headset, it’s for your own good!

Enjoy today’s read!

—Joachim E.

SNIPPETS

What’s happening in biotech today?

📉 Obesity slip: Eli Lilly’s shares fell 14% after Phase 3 trial results for its experimental oral obesity drug orforglipron showed less weight loss than Novo Nordisk’s rival pill. The data revealed that participants on the highest dose lost 11 percentage points more body weight than placebo after 72 weeks, which was not enough to convince investors of orforglipron’s market potential. Lilly also overhauled its R&D pipeline, dropping multiple mid- and early-stage drug candidates—including pain therapy mazisotine, which was licensed from Centrexion in 2019 in exchange for a $47.5 million upfront payment—while adding SiteOne-acquired NaV1.8 inhibitor STC-004 to early-phase trials.

🧴 JAK cream: China-based Minghui Pharmaceutical has raised $131 million in a “pre-IPO” funding round, led by OrbiMed and Qiming Venture Partners, to support the anticipated launch of its phase 3-stage pan-JAK inhibitor cream MH004 for dermatitis in China and advance its oncology and immunology pipeline. Regulatory review of MH004 is underway following positive phase 2 results in 2023. Funds will also advance trials for assets including the PD-1/VEGF bispecific antibody MHB039A, TROP-2-targeted ADC MHB036C, and B7-H3-targeted ADC MHB088C.

📦 Returned package: Gilead has returned rights to etrumadenant, an adenosine A2a/A2b receptor antagonist licensed from Arcus Biosciences in a $725 million deal, after deprioritizing the cancer candidate earlier this year. The move followed Arcus’ decision not to advance etrumadenant to Phase 3 in third-line metastatic colorectal cancer despite identifying a potential FDA path. Gilead still holds licenses to other assets from the partnership, including domvanalimab, another TIGIT antibody, CD73 inhibitor quemliclustat, and anti-PD-1 antibody zimberelimab.

✂️ Another layoff: Iovance Biotherapeutics is laying off “less than 20%” of its workforce as part of a strategic restructuring aimed at extending its cash runway following slower-than-expected sales of its melanoma cell therapy, Amtagvi. Amtagvi, approved in February 2024 as the first tumor-infiltrating lymphocyte (TIL) therapy, has faced commercial challenges due to its complex manufacturing process, high $515,000 price tag, and logistical hurdles. The therapy is under review in Europe, the U.K., and Canada, and in late-stage trials for lung cancer.

⏸️ Deal pause: Arvinas and Pfizer are renegotiating their partnership on vepdegestrant, an experimental breast cancer drug and potential first-in-class PROTAC therapy, after trial data showed it benefits only a subset of patients with a specific mutation. Originally part of a 50-50 development and commercialization deal signed in 2021, the narrowed market potential makes the arrangement less appealing to both companies. Options include Pfizer launching the drug with a larger profit share or returning rights to Arvinas, which would seek a new partner.

SPEED READ

More news

  • The FDA launched its “PreCheck” program to streamline drug factory approvals, aiming to boost U.S. pharmaceutical production amid Trump administration tariffs and reliance on foreign manufacturing.

  • AbbVie and Genmab’s Epkinly, combined with rituximab and lenalidomide, significantly improved outcomes in Phase III follicular lymphoma trial, supporting priority-reviewed FDA filing for second-line approval.

  • CorMedix is acquiring Melinta Therapeutics for $300 million, adding seven marketed products and projecting $35–$45 million in annual synergies while expanding its infectious disease portfolio.

  • Keros Therapeutics is abandoning its failed PAH drug cibotercept to focus solely on DMD candidate KER-065, restructuring leadership and streamlining operations to advance it into phase 2 in 2026.

  • Everest Medicines gained full approval in Taiwan for Nefecon, completing its six-territory Asian rollout and lifting prior conditions after Phase III data confirmed benefits for IgA nephropathy patients.

  • Dewpoint Therapeutics is laying off 70% of staff, closing German offices, and focusing Boston operations on advancing its lead stomach cancer therapy toward clinical trials this year.

  • The FDA ended its pause on Valneva’s chikungunya vaccine Ixchiq but restricted use to high-risk adults and added warnings after serious adverse events, including deaths, were reported.

  • Eledon’s Phase Ib kidney transplant drug tegoprubart showed encouraging 12-month safety and efficacy data, sparking a brief share surge before pre-market losses tempered investor optimism.

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