The Needle Issue #2


Welcome to the latest issue of the Needle, a newsletter from Haystack Science on preclinical biotech. If you are interested in science commercialization and how to take your early-stage discovery to market, this newsletter is for you. We aim to provide quick and insightful updates on preclinical research and the business around it every week. If you find the content helpful, please forward it to your friends and colleagues.

This week, we delve into CD36 as a receptor to help PROTACs cross the cell membrane — an insight that could be leveraged to improve the efficacy of PROTAC drugs. Elsewhere, the scramble of deals continues for multispecific antibodies and antibody-drug conjugates (ADCs) in cancer and autoimmune disease. Several initiatives are underway to counter the aftershocks of sweeping cuts at the FDA and NIH as they ripple down to startups.

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Over 25 proteolysis-targeting chimeras (PROTACs) are in the clinic with many more in preclinical development. AACR this week features >60 abstracts on PROTAC drugs against lung, prostate, breast, ovarian, colorectal and pancreatic cancers as well as lymphomas and leukemias. Often assumed to cross the membrane through passive diffusion, the actual mechanism whereby PROTACs enter cells isn’t fully understood, especially given their bulky size (>800 Da) compared with traditional drugs (300-500 Da). Now, several groups led by Hong-Yu Li and colleagues, of the University of Texas Health Science Center and the University of Arkansas for Medical Sciences, have obtained compelling evidence that CD36-mediated endocytosis is responsible for PROTAC internalization.

Using a PROTAC-like biotinylated probe to identify interacting membrane proteins, the team pinpointed CD36 as the transporter. Reducing protein levels via RNA interference in prostate- and breast-cancer cell lines resulted in decreased PROTAC-mediated target proteolysis and cytotoxicity, an effect that depended on two proteins (EEA1 and Rab5) associated with endocytosis.

The CD36 pathway also appears capable of mediating internalization for a diverse array of PROTACs with very different chemical structures, indicating that this is a general uptake pathway. With some clever medicinal chemistry, Li and colleagues modified existing PROTACs, including Arivinas’ androgen receptor targeting PROTAC bavdeglutamide, to optimize CD36 binding. These second-generation molecules, designed to act as prodrugs, show increased efficacy against tumors in mouse models compared with the parent molecules, presumably due to increased uptake.

The results are notable given the underwhelming results recently reported for first-generation PROTACs compared with existing standard of care. In March, Pfizer/Arivinas announced that vepdegestrant, their PROTAC drug targeting estrogen receptor α, missed primary endpoints in ER⁺/HER2⁻ advanced breast cancer patients. Similarly, C4 Therapeutics’ BRD9 degrader failed to show sufficient efficacy in synovial sarcoma patients. Identifying CD36 as a central uptake pathway for PROTAC molecules could provide an approach to improve PROTAC cellular uptake and therefore ramp up potency. The authors suggest an important assay for PROTAC drug hunters would be “a cellular fluorescence resonance energy transfer (FRET) assay labeling CD36 and another protein in the cascade complex to allow direct, accurate, and effective measurement of CD36-mediated endocytic efficacy”.

Several questions remain unresolved in the paper: As CD36 is a fatty acid transporter (for long-chain fatty acids and fat-soluble vitamins) and a scavenger receptor (taking up oxidized LDL, thrombospondin 1, and collagen), a big unknown is whether PROTAC uptake leads to activation of CD36 signaling pathways (via SFK, MAPK and NOX). If so, this could result in inflammation and even thrombosis. Similarly, we wonder whether higher levels of CD36 in human intestine, skin, lung, eye, muscle, mammary epithelium or spleen could make these tissue sinks for PROTAC molecules. Although CD36 is high in differentiated blood cells (platelets, erythrocytes and monocytes/macrophages), low expression in blood stem cells may explain why hematologic toxicity has not been seen for PROTACs unlike traditional cancer drugs.

Papers: Best of the rest

Molecular design of a therapeutic LSD analogue with reduced hallucinogenic potential | PNAS

ACLY inhibition rescues alpha-synuclein mutations that mislocalize cytoplasmic p300, compromising autophagy | Neuron

MASP-2 inhibitor targets complement lectin pathway and protects against renal ischemia–reperfusion injury | PNAS

Condensation of cellular prion protein promotes renal fibrosis through TBK1-IRF3 signaling axis | Science Translational Medicine

Off-the-shelf invariant NKT cells expressing anti-PSCA CAR and IL-15 promote pancreatic cancer regression in mice | JCI

Development of DPP-4-resistant CXCL9-Fc and CXCL10-Fc chemokines for effective cancer immunotherapy | PNAS

Microbiota-derived bile acids antagonize the host androgen receptor and drive anti-tumor immunity | Cell

CDK2 heterobifunctional degraders co-degrade CDK2 and cyclin E resulting in efficacy in CCNE1-amplified and overexpressed cancers | Cell Chemical Biology

Structure-based discovery of hydrocarbon-stapled paxillin peptides that block FAK scaffolding in cancer | Nature Communications

Perturbing LSD1 and WNT rewires transcription to synergistically induce AML differentiation | Nature

Pentatricopeptide repeat protein targeting CUG repeat RNA ameliorates RNA toxicity in a myotonic dystrophy type 1 mouse model | Science Translational Medicine

Goings on

Seed funding for therapeutics startups reverts to levels unseen for a decade

Infinity Bio launches service for profiling mouse proteome against antibodies

Felden Therapeutics receives investment from Zynext Ventures for engineered amphipathic peptide intracellular delivery shuttle

Radiant Biotherapeutics apoferritin-based antibody-multimerizing technology wins ‘BioBuzz’ startup award

Biolabs at University of Vermont kicks off educational series to help founders perfect their pitch

LifeArc joins the REMEDi4ALL Consortium, a pioneering global platform shaping the future of drug repurposing

Biocentury survey indicates >80% of biotech industry executives see FDA and NIH cuts as negative for industry

The Science & Community Impacts Mapping (SCIMap) project provides estimates at state/district level of US NIH budget cuts

Recursion Pharmaceuticals launches pre-seed Venture Fund Accelerator Altitude Labs to address funding gap at NIH SBIR-awarded biotechs in Salt Lake City

Orphan Therapeutics Accelerator, a non-profit biotech organization, announces foundational partnerships

FDA Commissioner Marty Makary says FDA exploring new streamlined approval pathway to accelerate rare-disease therapies

Nano-rare disease foundation n-Lorem reports 160 patients accepted for potential ASO treatments with authorization for >25 INDs in first five years

American Academy of Ophthalmology’s Eyecelerator highlights 37 startups presenting on May 5

LSX World Congress in London for accelerating European life science startups

Preclinical funding

Date Company (location) Amount (millions) Funding type (lead investors) Therapeutic (lead) focus
April 15, 2025 ThirtyFiveBio ND Seed (Abbvie Ventures and Canaan) Small molecule inhibitors of GPCR35 for inflammatory bowel disease
April 16, 2025 Brink Therapeutics €3.5 Seed (Kurma Partners and BREEGA) Evolved recombinases for gene and cell therapy
April 16, 2025 Onco-Innovations (Frankfurt, Germany) $0.6 Private placement Polynucleotide kinase 3′-phosphatase inhibitors for colorectal cancer
April 22, 2025 Parkinnova (Amsterdam) €0.35 Convertible loan (Innovatiefonds Noord-Hooland) Phosphodiesterase inhibitors for Parkinson’s
April 23, 2025 Grove Biopharma (Chicago, IL) $30 Series A (Portal Innovations) Peptide-brush polymer therapeutics with lead program for prostate cancer
April 23, 2025 Synthetic Design Lab (San Francisco, CA) $20 Seed (Playground Capital and Godfrey Capital) Multiple payload antibody-drug conjugates (ADCs)
April 24, 2025 Etiome (Cambridge, MA) $50 Seed (Flagship Pioneering) Machine learning analysis of disease progression to identify stage-specific biomarkers

Preclinical deals

Date Type Payer (location) Payee (location) Upfront payment (millions) Milestones amount (millions) Total (up to millions) Therapeutic Lead Focus
April 15, 2025 License Merck AG (Darmstadt, Germany) Cyprumed (Innsbruck, Austria) ND ND $493 Oral delivery technology for peptide drugs
April 17, 2025 License Sanofi (Paris) Earendil Labs (Middletown, DE) 125 1,720 1,845 Monoclonal antibodies against irritable bowel disease
April 17, 2025 License Janssen Biotech (Horsham, PA) BigHat Biosciences (San Mateo, MA) ND ND ND AI-enhanced antibody engineering against neurological disease targets
April 23, 2025 License Boehringer Ingelheim (Ingelheim, Germany) Tessallate Bio (Amsterdam, The Netherlands) ND ND $500 Synthetic lethal cancer drugs acting via break-induced telomere synthesis
April 23, 2025 License Genentech (S. South Francisco, CA) Repertoire Immune Medicines (Cambridge, MA) $35 $730 $765 Discovery of epitope targets for undisclosed autoimmune condition
April 23, 2025 Merger Voyager Acquisition Corp (Brooklyn, NY) Verexa (Zurich, Switzerland) ND ND $1,300 Bispecific antibody drug conjugates and bispecific T-cell engagers
April 24, 2025 License Pharmaron (Beijing, China) CN Bio (Cambridge, UK) ND ND ND Development of organ on chip technology
April 24, 2025 License Mosaic Technologies (Cambridge, UK) Astex Pharmaceuticals (Camrbidge, UK) 19% equity upfront in Mosaic 3% equity in Mosaic dependent on clinical milestones 22% equity stake ASTX029 phase 2 validated ERK1/2 small molecule inhibitor and ASTX295 MDM2 antagonist 

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Until next week,

Juan Carlos and Andy

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