Gilead Sciences and Lakefront Biotherapeutics NV have announced the completion of the previously announced acquisition of Ouro Medicines to advance T cell engager therapies for autoimmune diseases.

The acquisition adds gamgertamig (OM336), a clinical-stage BCMAxCD3 T cell engager, to Gilead’s growing inflammation portfolio and will be the foundation of Lakefront’s clinical development pipeline. Gamgertamig is designed to enable rapid and deep plasma cell and B cell depletion following a limited subcutaneously administered treatment course with the potential to induce durable disease control in severe antibody-mediated orphan diseases including autoimmune hemolytic anemia (AIHA) and immune thrombocytopenia (ITP).

Gamgertamig has been granted both Fast Track and Orphan Drug Designation by the US Food and Drug Administration (FDA) for the treatment of AIHA and ITP and is expected to enter registrational studies as early as 2027.

The addition of gamgertamig builds on Gilead’s long-term strategy to invest in differentiated science and accelerate the development of therapies that address significant unmet need. Combined with existing expertise in immunology and cell therapy, this approach supports the company’s ambition to shift treatment paradigms from chronic disease management toward the potential for durable immune reset.

Under the terms of the agreement, Gilead acquired all the outstanding equity of Ouro Medicines for USD 1,675 million and up to USD 500 million in contingent milestone payments.

Lakefront and Gilead will equally split the upfront payment, subject to customary adjustments, and contingent milestone payments of up to USD 500 million.

With this transaction, Lakefront has acquired substantially all of Ouro Medicines’ team and operational assets in connection with Gilead’s acquisition of Ouro Medicines and will collaborate with Gilead on the development of gamgertamig. As part of the collaboration, Lakefront is responsible for the ongoing and future phase 1/2 clinical studies of gamgertamig, with Gilead leading the registrational and later-stage studies.

Gilead will retain sole worldwide commercialisation rights, including all related costs, globally outside of Keymed’s territories. Lakefront will receive tiered royalties of 20 percent to 23 percent on net sales of gamgertamig from Gilead.

Lakefront has also in-licensed a preclinical portfolio of 3 additional autoimmune focused programs originally from Ouro with an opt-in for Gilead for a 50/50 profit split post clinical proof-of-concept for USD 75 million per program.

The transaction provides relief under the Option, License and Collaboration Agreement dated July 14, 2019, between Lakefront and Gilead to enable Lakefront to deploy at least USD 500 million of its available cash independently from Gilead and outside the scope of the OLCA and the Ouro transaction, including up to USD 150 million for share buybacks.

The Ouro portfolio will be the cornerstone of Lakefront’s R&D pipeline. Following this transaction, Lakefront will continue to have a majority of its cash remaining for additional strategic transactions and other capital allocation priorities. Lakefront’s year-end 2026 cash balance is expected to be approximately € 2 billion.