Instil Bio Pulls Plug On Lead Drug Development

Core Viewpoint - Instil Bio, Inc. is experiencing a decline in stock price following the decision by its subsidiary, Axion Bio Inc., to discontinue the clinical development of its lead asset, AXN-2510, a bispecific antibody targeting PD-L1 and VEGF for multiple solid tumors [1][5]. Group 1: Discontinuation of AXN-2510 - Axion Bio has decided to halt the clinical development of AXN-2510, which was in development for multiple solid tumors [1]. - The collaboration agreement between Axion and ImmuneOnco Biopharmaceuticals for AXN-2510 and AXN-27M has been terminated, with all rights reverting to ImmuneOnco [2]. Group 2: Financial Implications and Agreements - In August 2024, Instil Bio in-licensed the ex-China development and commercial rights to ImmuneOnco's IMM2510 and an anti-CTLA-4 antibody, IMM27M, with potential payments exceeding $2 billion and royalties on global ex-China sales [3]. - The agreement included an upfront payment and potential near-term payments of up to $50 million [3]. Group 3: Clinical Data and Stock Performance - Preliminary safety and efficacy data from a Phase 2 study of IMM2510/AXN-2510 in combination with chemotherapy for advanced non-small cell lung cancer (NSCLC) showed partial responses in 80% of squamous NSCLC patients and 46% of non-squamous NSCLC patients [4]. - Instil Bio's stock was reported to be down 52.48% at $5.84, marking a new 52-week low [5].