Basilea Pharmaceutica has accessed the next tranche of U.S. government funding required to continue developing its pipeline of new antifungals.
The Biomedical Advanced Research and Development Authority (BARDA) signed an agreement with Basilea in September 2024 to provide funding spread over up to 12 years to “support the development of designated novel, first-in-class antifungals and antibacterials in Basilea’s portfolio.” The total funding to be handed over could top out at $268 million, but this is dependent on Basilea hitting a series of clinical and regulatory milestones, as well as BARDA choosing to extend the contract.
Basilea already secured $29 million to develop its antifungals fosmanogepix and BAL2062, and the Swiss company announced this morning that it has confirmed it will also receive its next tranche of $39 million after hitting one of those undisclosed milestones.
The latest funding will support an ongoing phase 3 study with fosmanogepix in yeast infections as well as launch another late-stage trial in mold infections. The broad-spectrum antifungal originates at Amplyx Pharmaceuticals, although Basilea acquired the asset from Pfizer in 2023.
A portion of the fresh funds will also be used to prepare for a phase 2 study of BAL2062. Basilea bought that antifungal from Gravitas Therapeutics and has been aiming the candidate at molds like Aspergillus.
“We are very pleased to receive the continued funding under the [agreement] with BARDA to support the development of our antifungal drug candidates fosmanogepix and BAL2062,” Basilea CEO David Veitch said in the July 8 release.
“Both compounds offer a novel mechanism of action and represent new therapeutic options for patients with aspergillosis, candidiasis or other life-threatening fungal infections,” Veitch added. “These infections primarily affect patients with weakened immune systems, such as cancer or transplant patients.”
Basilea’s relationship with BARDA stretches back to 2013 when the agency committed $89 million in funding toward the antibiotic BAL30072—although the biotech went on to scrap the candidate three years later.
Basilea currently markets Cresemba for invasive fungal infections and Zevtera for bacterial infections. The low return on investment means many of the biggest biopharmas have given up working on new antifungals or antibiotics in recent years—although GSK in particular has continued to sign deals and post encouraging clinical results against infections like gonorrhea.
Meanwhile, Basilea has swum against the tide, pivoting away from cancer toward anti-infectives in 2023.