Merck Acquires Tilos Therapeutics for $773 Million to Advance Novel LAP-Targeted Cancer Therapy

VCBeat (WeChat ID: vcbeat) learned from foreign media that on June 10, Merck announced the acquisition of cancer treatment company Tilos Therapeutics. Under the terms of the agreement, Merck will acquire all outstanding shares of Tilos Therapeutics through a subsidiary for a total value of up to $773 million, including upfront and interim milestone payments.

Tilos Therapeutics is a private biopharmaceutical company based in Cambridge, Massachusetts, founded in 2016. The company’s core technology focuses on developing antibody therapies targeting key immune pathways, with a primary emphasis on modulating regulatory T cells and effector cells. Currently, Tilos Therapeutics is primarily developing antibody therapeutics targeting LAP-associated peptides for the treatment of cancer, fibrosis, and autoimmune diseases.

LAP is a latent peptide that secretes the TGF-β cytokine and forms a cage-like structure around the secreted TGF-β, keeping the cytokine in an inactive state. The cytokine TGF-β has been confirmed to play a critical role in the development of cancer and fibrotic diseases. Anti-LAP antibodies can block the release of TGF-β and have the potential to reduce TGF-β activity. This novel anticancer mechanism has demonstrated efficacy in mouse cancer models, effectively inhibiting tumor growth.

Anti-LAP antibodies primarily modulate the tumor microenvironment through two distinct pathways, thereby inhibiting tumor growth and achieving cancer cure.

The first approach is achieved by inhibiting relevant cells and triggering an immune response. Anti-LAP antibodies deplete regulatory T cells (Tregs), myeloid-derived suppressor cells (MDSCs), and tumor-associated macrophages (TAMs) from the tumor microenvironment, and release related molecules, enabling the body to generate an adaptive immune response, thereby effectively eliminating tumors.

The second approach is achieved by inhibiting the release of TGF-β. The complex formed by anti-LAP antibodies and TGF-β (TGF-β–LAP) can block the release of this cytokine, thereby inhibiting tumor growth and reducing the likelihood of metastasis or immunosuppression.

“We are proud to have discovered novel mechanisms for cancer treatment. The series of LAP antibodies developed by Tilos Therapeutics will lay the foundation for achieving TGFβ-modulating therapies,” said Dr. Barbara Fox, Chief Executive Officer of Tilos Therapeutics. “Our partnership with Merck & Co., Inc. (MSD), a leader in the biopharmaceutical R&D industry, validates the value of our novel approach to cancer therapy. This collaboration has precisely positioned our R&D pipeline, enabling us to achieve broad clinical application and commercial success at an earlier stage.”

“MSD will actively execute our business development strategy and continue to strengthen our R&D pipeline,” said Dr. Dean Li, Senior Vice President of MSD. “Tilos Therapeutics has developed a compelling novel mechanism for cancer treatment by researching LAP-related peptides and the cytokine TGF-β, bringing new possibilities for treating related indications.”

(Compiled by Wang Chan)