AstraZeneca finalises buyout of SixPeaks Bio to accelerate advanced obesity treatment pipeline.
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Cambridge-based AstraZeneca announced in its earnings report that it has completed the purchase of the remaining equity in SixPeaks Bio, following its original investment of $15M (approximately €13M) made in Q2 2024.
The deal included an immediate payment of $170M (approximately €147M) , with an additional $30M (approximately €26M) due in two years.
Up to $100M (approximately €86.5M) more will be paid based on the achievement of regulatory milestones.
SixPeaks was founded in 2022 at Versant’s Ridgeline Discovery Engine in the Basel Technology Park to develop improved therapies for healthy weight loss.
The company was launched last year, around May, with $30M in Series A financing led by founding investor Versant Ventures.
AstraZeneca also participated in the Series A financing and is committed to up to $80M in capital, including upfront and near-term payments.
In exchange, AstraZeneca received an option to acquire SixPeaks at an agreed-upon price at the time of submission of an IND application for the biotech’s lead antibody.
How does AstraZeneca benefit?
AstraZeneca’s acquisition of SixPeaks helps the company develop obesity medicines that aim to keep muscle mass intact, as this can be lost with drugs like Wegovy and Zepbound, reports Biopharmadive.
These new medicines focus on activin receptors, which may help maintain muscle while reducing fat.
AstraZeneca’s “drive, interest, capability and motivation to win in this race was extremely strong,” said Alex Mayweg, a managing director at Versant who chaired SixPeaks’ board, at the time of the startup’s launch.
What does SixPeaks do?
SixPeaks is developing therapies targeting weight management that aim to preserve lean muscle mass during fat loss.
The company’s team leveraged internal biologics capabilities within Ridgeline to create an activin IIA/B receptor antibody for robust preservation of skeletal muscle mass in humans.
GLP-1-based therapies have proven efficacy in obesity and associated co-morbidities.
However, patients can lose muscle mass in addition to reductions in body fat, with the decrease in muscle accounting for up to 40 per cent of the weight loss derived from these medicines, claims the company.
Preclinical studies show that the lead molecules are more effective and have better properties than competing antibodies, with less off-target binding.
In lean and obese mouse models, SixPeaks’ lead molecules appear to be highly effective in preserving muscle mass, both on their own and when used with GLP-1 agonists.
The company has also combined its activin receptor IIA/B antibody with a GLP-1 peptide, creating a new therapy that could promote significant weight loss while protecting muscle mass.
They are expanding this approach to develop more molecules that help with weight management and related health issues.
