Job losses loom at Achilles as TIL therapy platform is cut
Achilles' chief executive Dr Iraj Ali
Employees at Achilles Therapeutics are bracing themselves for job losses after the UK biotech announced that it is dropping its R&D in tumour-infiltrating lymphocyte (TIL) therapies for cancer and launching a strategic review.
The Cancer Research UK (CRUK) spinout – which went public via a $175 million initial public offering in 2021 – reported that it is discontinuing its TIL-based therapy programme and shutting down the phase 1/2a CHIRON and THETIS clinical trials.
In a statement, chief executive Iraj Ali said the two studies, in non-small cell lung cancer (NSCLC) and melanoma, respectively, had "not met our goals for commercial viability."
The company was set up to focus on the development of T cell therapies targeting clonal neoantigens, mutations that form early in the development of cancer that cause antigens to be expressed on cancer cells that are not found in healthy tissue.
The platform combines TILs taken from a tumour with blood-derived dendritic cells modified to target neoantigens, creating a Clonal Neoantigen Targeting T cell therapy or cNeT.
All seemed well just a few weeks ago when the company said preliminary phase 1/2a results had shown that the cNeT therapies had shown persistence and engraftment, although there was no word on any efficacy or safety outcomes.
The company is now looking at job cuts and other cost-cutting measures as it seeks partnerships with other organisations that are interested in targeting clonal neoantigens for the treatment of cancers. It has engaged BofA Securities to assist in the restructuring process.
The change in direction follows a research collaboration with Arcturus Therapeutics focusing on the discovery of mRNA cancer vaccines using Achilles' artificial intelligence-powered, tumour-targeting platform called PELEUS that is used to identify clonal neoantigens in a patient.
"We are actively exploring new opportunities to leverage our substantial assets and cutting-edge technology platforms," said Ali. The company reckons its technology could be used in a variety of treatment modalities, including neoantigen vaccines, antibody-drug conjugates (ADCs), and T-cell receptor (TCR) therapies.
Achilles ended the second quarter with around $95 million in cash, down from $135 million at the end of 2023, which could make it an attractive option for a merger or reverse merger with another biotech seeking to go public. It also has an American Depository Receipt (ADR) listing on the Nasdaq. Other options on the table include an acquisition or sale of the business, amongst others.
Shares in the company rose by a third on news of the restructuring plan.
