GSK takes over full ownership of Sitari Pharmaceuticals

San Diego, USA-based Avalon Ventures says it entered into a definitive agreement with GlaxoSmithKline (LSE: GSK) for the acquisition of Sitari Pharmaceuticals by GSK, which comes with the transgluataminase 2 small-molecule program for celiac disease.

Sitari has been developing a novel treatment for celiac disease and was the first company formed under the GSK-Avalon venture collaboration in 2013. Sitari was incubated at COI Pharmaceuticals, the Community of Innovation established by Avalon Ventures. The collaboration between Avalon Ventures and GSK provided up to $495 million to fund a total of 10 new companies through preclinical proof of concept.

“Our collaboration with GSK has been overwhelmingly positive as we were able to rapidly launch a series of new companies based on promising scientific research, and we successfully advanced five programs into preclinical studies for a variety of unmet medical needs,” said Jay Lichter, chief executive of Sitari, president and CEO of COI, and managing director of Avalon Ventures. “Sitari’s preclinical program has the potential to become a medicine to help millions of patients with celiac disease, and we are excited that GSK, a leader in developing innovative medicines, will be advancing the program,” he added.