Galecto to merge with onetime Celgene partner PharmAkea
Galecto is set to merge with PharmAkea. The deal will see Denmark’s Galecto incorporate in the U.S. and add a clinical-phase treatment for idiopathic pulmonary fibrosis (IPF) to its pipeline.
Copenhagen, Denmark-based Galecto is the dominant partner in the transaction, the financial terms of which have not been disclosed. The combined company will take Galecto’s name and be run by the senior management team at the Danish drug developer. Through the deal, Galecto is getting incorporated in the U.S., while keeping its operating headquarters in Denmark, and adding an asset.
The asset is a small molecule LOXL2 inhibitor that PharmAkea is developing as a treatment for IPF and other fibrotic diseases. PharmAkea has actively been trying to outlicense the drug since 2017.