Welcome to the latest edition of our weekly EuroBiotech Report. We start this week with news that the European biotech sector is on track to break its annual funding record. Our next two stories illustrate why Europe has made such a strong start to 2018. Orchard Therapeutics filed to raise $173 million in an IPO on Nasdaq, one of the key sources of cash for European biotechs this year. And GlaxoSmithKline contributed to a $30 million investment in Sitryx, which, like many of its peers in the U.K. this year, has found VCs willing to fund its work. Elsewhere, Sinntaxis picked up an option on an ex-AstraZeneca mGluR5 antagonist. A phase 3 trial of Diurnal’s Chronocort missed its primary endpoint. And more. — Nick Taylor
1. European biotech funding on track for record year
The European biotech sector is on track to break its annual funding record, according to BioWorld. After a big third quarter, the total for the first nine months of the year stands at $6.3 billion, putting the region on course to clear the $8 billion bar.
2. Orchard files for $173M IPO to run pivotal gene therapy trials
Orchard Therapeutics has filed to raise $173 million (€150 million) in an IPO. The offering will give the GlaxoSmithKline-backed biotech the means to take three gene therapies through the clinic and onto the market.
3. GlaxoSmithKline helps immunometabolism startup Sitryx to $30M round
GlaxoSmithKline has helped Sitryx to a $30 million (€26 million) funding round. Newly formed British biotech Sitryx will use the money and its relationship with GSK to move immunometabolism assets toward human testing.
4. Sinntaxis bags option on ex-AstraZeneca mGluR5 antagonist
Sinntaxis has secured an option on an ex-AstraZeneca drug. AstraZeneca dropped mGluR5 antagonist AZD2066 after getting a look at midphase data, but Sinntaxis thinks it can rehabilitate the molecule as a treatment for stroke patients.
5. Phase 3 rare disease flop leaves Diurnal reeling
Diurnal’s Chronocort has failed to beat the control in a phase 3 congenital adrenal hyperplasia trial. The modified-release preparation of hydrocortisone was no better at controlling sex hormones than conventional glucocorticoid doses, sending Diurnal’s stock into a downward spiral.