Galapagos to Wind Down Cell Therapy Business
Summary:
Belgian biotech Galapagos NV announced plans to shut down its cell therapy division after failing to secure a buyer, marking a major strategic shift toward pipeline-building through partnerships and acquisitions. The wind-down could result in approximately 365 layoffs – over half of its workforce – and site closures across Europe, the U.S., and China. While Galapagos remains open to new acquisition offers, the decision follows a series of R&D setbacks and an unsuccessful attempt to spin off the business earlier this year. The company anticipates €150 – 200 million in restructuring costs and aims to update its financial outlook with Q3 results in November.
AstraZeneca and Daiichi’s Datroway Boosts Survival in Triple-Negative Breast Cancer
Summary:
At ESMO 2025, Datroway significantly improved outcomes for patients with inoperable, triple-negative metastatic breast cancer, extending overall survival to 23.7 vs. 18.7 months with chemotherapy and nearly doubling progression-free survival. The TROP2-targeting drug may soon compete with Gilead’s Trodelvy pending regulatory review.
Cancer Treatment Galapagos to Exit Cell Therapy, Cutting 365 Jobs and Closing 5 Sites
Summary:
After failing to secure a buyer, Galapagos will wind down its cell therapy business, marking a rapid reversal just months after declaring a focus on the field. The move will cut around 365 jobs and close facilities in the U.S., Europe, and China. Citing “evolving market dynamics,” the company will redirect its €3.1B in cash toward business development and pipeline-building deals. The decision follows similar exits from Novo Nordisk and Takeda, signaling broader challenges in the cell therapy sector.
Neuphoria Halts Social Anxiety Drug After Phase III Failure
Summary:
Neuphoria Therapeutics announced that its drug BNC210 failed to meet primary or secondary endpoints in a Phase III trial for social anxiety disorder, leading the company to end development for this indication. The study showed no improvement in distress during a public speaking challenge. Neuphoria will continue testing BNC210 for post-traumatic stress disorder (PTSD), where earlier trials showed encouraging results. The company also plans to conserve cash and review strategic options following the setback.
$1B Boost Amid Biotech’s Harsh Winter
Summary:
Despite a harsh funding winter, Massachusetts startups raised over $1B last week:
- Kaleira Therapeutics – $600M for obesity drugs developed in China.
- Lila Sciences – $350M to build an AI-driven automated lab.
- Cellens – raising funds for an AI-based urine test for bladder cancer.
Amid layoffs and uncertainty, these deals hint at a cautious comeback for biotech.
