As other young radiopharmaceutical companies get acquired by drugmakers, Boston-based Aktis Oncology wants to become one of the field’s next hot startups.
On Monday, it took a big step toward that goal, announcing a $175 million investment from a syndicate that includes Eli Lilly, Bristol Myers Squibb, Novartis, and Merck’s corporate venture arm. Lilly is also partnered with the startup on radiopharmaceuticals for therapeutic and diagnostic applications, through a $60 million upfront deal this spring.
With the Series B, Aktis now has more than $300 million in cash, CEO Matthew Roden told Endpoints News. The round was upsized from an initial target of $150 million, he said, and gives Aktis at least two years of runway.
“We have a lot of options with respect to when we can go public,” Roden said in an interview. RA Capital Management led Monday’s Series B, which was co-led by RTW Investments and Janus Henderson Investors.
Interest in the radiopharma field has swelled in recent years. Multiple biotechs have emerged, and large pharmaceutical companies have spent billions to enter the space or shore up their capabilities. Lilly, Novartis, Bristol Myers, AstraZeneca and Sanofi have all made deals in the past 12 months.
Aktis is using a miniprotein radioconjugate platform, which Roden said should hit targets that small peptides can’t. The technology can be applied across a variety of isotopes for both therapeutic and imaging purposes, Roden said.
The isotope actinium-225 is the current focus. Because of its popularity, however, some in the space have found access to the material constrained. Bristol Myers paused a Phase 3 study of its RayzeBio-acquired radiopharma asset earlier this year due to supply constraints of that isotope but has since resumed the trial.
Roden said Aktis has a “really strong position in isotope supply” with more than three actinium-225 commercial suppliers that can distribute globally. He said the suppliers are not government entities or based in Russia — categories that can limit access.
And supply should improve as investors pour money into actinium-225 producers, like PanTera, which disclosed a $103 million Series A earlier this month.
Aktis’ first radiopharmaceutical agent, the Nectin-4-targeting AKY-1189, is already in the clinic for solid tumors. A second alpha radioconjugate is slated to enter human studies next year, Roden said.
The company has seven total programs, according to its website. It’s interested in multiple cancers, including breast, lung, colorectal, bladder and liver.