IGM Biosciences ended last year laying off staff and streamlining its cancer pipeline. Now, the company has become the latest to join a hot trend in cell therapy biotech—pivoting from oncology to autoimmune disease.
The strategic shift—which comes with a side order of a C-suite shake-up and hints of further layoffs—shouldn’t be a huge surprise. Back in December 2023, IGM confirmed that while it was halting work on two candidates aimed at blood cancer and solid tumors, it was persevering in colorectal cancer and autoimmune diseases.
Now, the company has announced a “strategic pivot to focus exclusively on autoimmunity disease.” In practice, it means that the biotech’s resources will be channeled toward its pipeline of T-cell engagers being lined up in autoimmunity conditions.
These are led by imvotamab, a CD20 x CD3 bispecific T cell engager that is already being evaluated in clinical trials for rheumatoid arthritis, systemic lupus erythematosus and myositis. Those studies are due to start reading out this year and into next.
Next in the queue is IGM-2644, a CD38 x CD3 bispecific set to begin a clinical trial for generalized myasthenia gravis before the end of 2024.
The flip side of this refocus is that spending on the IgM antibody aplitabart as well as IGM’s other oncology R&D will be “minimized.” In a post-market release Sept. 30, the company alluded to “emerging data” from the ongoing trial of aplitabart in colorectal cancer as one of the reasons for the decision, along with the “significant opportunity in autoimmunity.”
IGM’s workforce suffered a 22% reduction as part of the last round of pipeline changes in December, and it sounds like more layoffs could be in store for the biotech’s staff.
“The company has decided to immediately begin taking steps, including a reduction in force, to minimize its future spending on the research and clinical development of aplitabart and other oncology candidates,” IGM explained in the release.
The company had previously expected to end this year with $180 million in cash and investments, which should fund its operations into the second quarter of 2026. Yesterday’s pipeline changes mean IGM’s cash runway will now stretch into 2027, it said.
Alongside the strategic shift, IGM is making some major changes to its C-suite, with CEO Fred Schwarzer, Chief Scientific Officer Bruce Keyt, Ph.D., and Chief Medical Officer Chris Takimoto, M.D., Ph.D., all leaving their roles—although Schwarzer and Keyt will remain as consultants.
Mary Beth Harler, M.D., a Bristol Myers Squibb veteran who joined IGM in 2021 to head up the biotech's autoimmune R&D, will step into the CEO role.
“Our early pivot to using T cell engagers in autoimmune disease has enabled significant progress on these programs at IGM, and I am excited to lead the company at this transformational stage,” Harler said in the release.
“We’ve made great progress in our clinical development of imvotamab in autoimmune indications and we believe the clinical, and ultimately commercial, potential of our pipeline of T cell engaging antibodies in treating autoimmune diseases is significant,” the new CEO added.
IGM is treading a well-worn path of oncology cell therapy companies taking an increased interest in the autoimmune space, including the likes of Poseida Therapeutics, Allogene and Caribou Biotherapeutics.