Industry Daily Summary: What Happened on October 24, 2026

Gilead pays $1.275 billion upfront for PepStar’s oral drug

Gilead agreed to pay PepStar Therapeutics $1.275 billion upfront for worldwide rights to its oral interleukin-23 receptor inhibitor program, led by HCXT-2001.12

HCXT-2001, a macrocyclic peptide, is in Phase 1 testing in healthy volunteers in Australia and has no clinical efficacy data yet.12 Gilead expects the deal to close in the fourth quarter of 2026, subject to customary conditions.2

Gilead’s chief medical officer said HCXT-2001 could be developed alone or with emvistegrast as an oral treatment for inflammatory bowel disease.24 In a Phase 2 ulcerative colitis study, emvistegrast produced a clinical response at 12 weeks in 66% of participants on the highest dose, versus 37% on placebo.25 Remission rates were 31% and 8%, respectively. Researchers have not tested the proposed combination with HCXT-2001.25

Zymeworks licenses its T-cell engager to Roche

Zymeworks granted Roche global rights to develop and commercialize ZW209, a trispecific T-cell engager that targets DLL3 and activates T cells through CD3 and CD28.36 ZW209 is in a Phase 1 study for small cell lung cancer and other DLL3-expressing tumors. The deal is worth up to $813 million plus royalties.3

Zymeworks is eligible for $55 million upfront and $40 million when a Phase Ib trial begins, plus additional milestone payments and tiered royalties on future sales.6 Zymeworks will work with Roche on the initial trial. Roche will fund it and lead later global development and commercialization.36

Treasury proposes limits on biotech investments abroad

The US Treasury proposed adding biotechnology to the Outbound Investment Security Program under the COINS Act. The proposal would restrict some US investment in biotech firms in China and other countries of concern.3 It covers areas such as biomanufacturing equipment, bioinformatics tools, and biological design and sequencing.3

The proposal focuses on equity investments and joint ventures. It excludes contractual arrangements unless they involve technology transfer.3 Comments on the proposed rule are due December 7. MassBio plans to submit comments.3