Bayer buys into KRAS with $1.3bn Kumquat deal

Bayer has joined the throng of drugmakers developing KRAS-targeting therapies for cancer by licensing an early-stage candidate from Kumquat Biosciences.

The deal – which has a total value of up to $1.3 billion including an unspecified upfront payment – gives Bayer exclusive global rights to a KRAS G12D inhibitor developed by San Diego-based Kumquat that is on the brink of starting human trials in the US.

KRAS mutations occur in nearly a quarter of all human cancers, with G12D the most commonly encountered. However, at the moment, there are no approved therapies specifically targeting that mutation, as the only two KRAS inhibitors on the market – Amgen's Lumakras (sotorasib) and Bristol Myers Squibb's Krazati (adagrasib) – both target the less common G12C mutation and so far have failed to meet initial sales expectations.

That said, there is a clutch of G12D-targeting drugs ahead of Bayer and Kumquat in the industry pipeline, such as Revolution Medicine's zoldonrasib and Verastem Oncology/GenFleet's GFH375, which both had initial clinical results presented earlier this year, along with candidates from Astellas, Incyte, AstraZeneca, Eli Lilly, and others that are already in the clinic.

Under the terms of the deal with Bayer, Kumquat will be responsible for completing a phase 1a trial of the KRAS G12D inhibitor.

Bayer is in the midst of a major shake-up of its business as it contends with the loss of patent protection on blockbuster anticoagulant Xarelto (rivaroxaban) and overhanging legal costs related to its agrochemical business, with a big reduction in headcount ongoing amid efforts to rebuild its pipeline.

Oncology is a key growth area for the group, which has recently forged cancer-focused partnerships with Puhe BioPharma, MOMA Therapeutics, and NextRNA Therapeutics – although, the latter came to an end just this week after NextRNA ran out of money.

"We are constantly evaluating innovative approaches to improve outcomes for patients, focusing on areas of high unmet medical need," commented Juergen Eckhardt, Bayer's head of business development and licensing at Bayer's pharma division.

"We look forward to collaborating with Kumquat, an accomplished team of experts with deep KRAS insights," he added. "Our intent is to explore the development of a potential new treatment option for patients, while further complementing Bayer's robust early precision oncology pipeline."

KRAS G12D mutations are found in 37% of pancreatic ductal adenocarcinoma (PDAC) cancers, 13% of colorectal cancer cases, and 4% of non-small cell lung cancer (NSCLC) cases.