Astex Therapeutics
Based: Cambridge, U.K.
Founded: 1999
www.astex-therapeutics.com
Why It's Fierce: Actually, Astex has been known for its hot technology for years. Over the past year, though, it would be better to say the company has turned blistering hot. Astex made its mark by becoming the first biotech to identify the 3-dimensional crystal structure of a human cytochrome P450 enzyme, which plays a role in metabolizing drugs. Earlier this year, it granted a nonexclusive global license to its cytochrome P450 intellectual property to Pfizer. But it is its fragment-based discovery engine, which uses high-throughput x-ray crystallography to identify drug fragments bound to target proteins, that Astex feels is most important to its future. Last July, Astex also signed a $275 million licensing deal with AstraZeneca to develop small molecule inhibitors of Protein Kinase B for cancer. Astex signed a $520 million licensing deal with Novartis ($25 million in up front payments and guaranteed equity) for its oral cell cycle inhibitor, AT9311, which is in preclinical studies, along with an option on AT7519, currently in Phase I clinical trials.
"This is a validation of our approach to develop compounds using fragment discovery methods against the cell cycle," says Harren Jhoti, the company's chief scientific officer and acting CEO. It's also not bad timing, with big pharma looking further and further down the pipeline for new drug programs to in-license.
"Now they’ve got to the point where they are running out of later stage compounds and by definition are coming earlier and earlier to programs in preclinical development," says Jhoti. "The fact we were able to get such a high value deal is due to the fact that other major players were vying to license that program in."
With AT7519 in early stage trials, AT9311 in preclinical, and an aurora kinase compound--AT9283--on the verge of a regulatory filing, which isn't partnered at all, Jhoti says Astex is well on its way to establishing a track record of filing one IND a year from its discovery platform.
Astex has raised $90 million from two rounds of venture capital, with the last round in 2003.
What to look for: A growing reputation for compounds in clinical trials could well set the stage for an IPO in Europe. Over the next 18 to 24 months, Astex can bank on $65 million in cash and committed research funding and a further $21 million in potential milestone payments from its collaborations. Astex is looking for one more major discovery alliance; and the company will explore expanding outside the oncology arena into other therapeutic areas, with anti-infectives, inflammation and cardiovascular on the list for consideration.
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