GSK to acquire Aiolos Bio and its biologic asthma candidate

UK pharma major GSK (LSE: GSK) has entered into an agreement to acquire Anglo-American biotech Aiolos Bio, a clinical-stage company focused on addressing the unmet treatment needs of patients with certain respiratory and inflammatory conditions.

GSK, which is aiming to broaden its range of asthma products, will make an upfront payment of $1 billion and has pledged up to $400 million in certain success-based regulatory milestone payments. In addition, GSK will also be responsible for success-based milestone payments as well as tiered royalties owed to Hengrui.

The acquisition provides GSK with access to Aiolos’ lead candidate AIO-001, a potentially best-in-class, long-acting anti-thymic stromal lymphopoietin (TSLP) monoclonal antibody ready to enter Phase II clinical development for the treatment of adult patients with asthma, with potential for additional indications including chronic rhinosinusitis with nasal polyps. AIO-001 was exclusively licensed to Aiolos outside of Greater China by Jiangsu Hengrui Pharmaceuticals.