Cancer company Erasca is seeking a partner for its most advanced asset, a pan-RAF inhibitor being studied in a phase 3 melanoma study and a phase 1b solid tumor trial, in hopes of adding another year onto its cash runway.
The strategic decision to end further internal development of the ex-Novartis asset, dubbed naporafenib, will allow Erasca to focus on its two early-stage RAS-targeting candidates. The company in-licensed those prospects from two different biotechs almost exactly a year ago.
The move is expected to further the biotech’s cash runway from the second half of 2027 to the second half of 2028, according to a May 13 release.
The San Diego company is already in discussions related to partnership opportunities for naporafenib, according to the release.
Evercore analysts called the decision "great news" in a May 13 note, writing that naporafenib was proving to be an overhang for Erasca. The analyst firm cited the importance of an extra year of funding amid the current macroeconomic environment, noting that the move eliminates the risk tied to seeking future funding on the back of potentially mixed or tough-to-interpret trial results.
The sidelined asset has snagged FDA fast-track designation for use with trametinib in patients with unresectable or metastatic melanoma whose tumors contain an NRAS mutation (NRASm).
Erasca pointed to a pooled analysis of patients with NRASm melanoma who received the investigational combo in phase 1 and 2 trials, saying the data demonstrated a clinically meaningful extension of median progression-free survival and median overall survival when compared to historical benchmarks.
The asset, which Erasca picked up from Novartis for $20 million in 2022, would be the first targeted therapy in NRASm melanoma if it were to make it to market.
“Having more than three years of cash despite no new infusion of capital in this volatile macroenvironment bolsters our ability to focus on successfully executing our ambitious clinical development plans for ERAS-0015 and ERAS-4001,” Erasca CEO and co-founder Jonathan Lim, M.D., said in the release.
The San Diego company just received FDA clearance to enter clinical trials for ERAS-0015, a pan-RAS molecular glue with potential for treating RAS-mutant (RASm) solid tumors. The biotech also wrapped up a submission asking for the agency’s approval to enter human studies for pan-KRAS inhibitor ERAS-4001, with phase 1 monotherapy data for both programs expected by next year.
“We believe that the broad clinical application of these validated RAS targets, the robust excitement for our competitive candidates, and the tremendous progress we have made across both programs since their in-licensing last May strongly position us for success as we aim to help treat the millions of patients with RASm solid tumors,” the CEO explained.
Erasca spent a collective $22.5 million to import the candidates last year, with ERAS-4001 coming from Medshine Discovery and ex-China rights for ERAS-0015 coming from Joyo Pharmatech.
To make room for the new assets, Erasca last year called it quits on its internal pan-KRAS program and deprioritized two other programs. In conjunction, the company let go of 18% of its team, with most of the affected roles located in drug discovery functions or the deprioritized programs.
Editor's note: This story was updated at 11:45 a.m. ET on May 13 to include analyst insight.