Frank Vinluan , 2025-04-08 17:57:00
Immunology continues to be one of the most active areas for drug research as the field aims to bring patients new ways to eliminate the antibodies driving autoimmune disease, but in a manner that does not also compromise the immune system. Merida Biosciences, a startup formed by venture capital firm Third Rock Ventures, emerged from stealth Tuesday, revealing $121 million in financing and a lead program for a common autoimmune condition that has not had a new approved therapy in decades.
The lead disease target of Cambridge, Massachusetts-based Merida is Graves’ disease, which develops as antibodies produced by the immune system attack the thyroid gland, a butterfly-shaped gland located at the front of the neck. Thyroid hormone regulates functions such as metabolism and growth. In Graves’ disease, the attack on the gland results in excess thyroid hormone production that speeds up the heart rate and weakens bones among other problems.
Standard Graves’ treatment includes radioactive iodine therapy to shrink the gland, anti-thyroid medications, or beta blockers that block the effect of thyroid hormone on the body. Each of these treatments introduces complication risks elsewhere in the body. Surgical removal of the thyroid gland is another treatment option, but patients need lifelong hormone replacement therapy afterward.
Merida is developing drugs designed to selectively bind to Fc receptors, receptors on immune cells that regulate immune responses. The company says its protein engineering platform generates unique Fc therapeutics that selectively bind to pathogenic antibodies. The drugs then lead to the elimination of these antibodies by leveraging built-in cellular mechanisms for clearing antibody complexes, which are molecular structures formed when an antibody binds to its specific target antigen. The company says its drugs are designed to eliminate only pathogenic antibodies, sparing healthy components of the immune system. In Graves’ disease, this approach is intended to spare healthy thyroid signaling.
The Merida drugs are biotherapeutics that the startup describes as “antibody-like” in the way they move through the body. For example, these drugs could provide longer-lasting effects that enable less frequent dosing compared to some other therapies. The Graves program is currently undergoing the preclinical research that could support an investigational new drug application. Other disclosed Merida programs are in preclinical development for primary membranous nephropathy, which is a chronic inflammatory kidney disease, and food allergies mediated by immunoglobulin E antibodies.
“At the heart of Merida is understanding the mechanisms behind antibody-driven diseases like Graves’ at the molecular level, and leveraging these insights to develop precision therapeutics that have thus far evaded the field,” Merida co-founder and Chief Scientific Officer Dario Gutierrez said in a prepared statement. “Our highly differentiated approach has the potential to yield best-in-class treatments by going after the root causes of these devastating diseases.”
Merida’s launch comes as other immunology-focused biotech companies, including startups, make headway with their own selective Fc-receptor targeting drugs. Roivant Sciences subsidiary Immunovant is pursuing various immunological indications with IMVT-1402 and batoclimab. Both drug candidates are monoclonal antibodies. The clinical program for IMVT-1402 includes a Phase 2/3 study underway in Graves’. Batoclimab is currently in Phase 2 testing in Graves’. Last September, Immunovant reported preliminary data showing batoclimab achieved a strong response and a lowering of levels of antibodies associated with the disease. The study is expected to post additional data this summer.
Zenas Biopharma is developing bifunctional antibodies for immunology and inflammation indications. Lead program obexelimab is designed to bind to CD19 and Fc gamma receptor IIb, both of them targets expressed on B cells. A Phase 3 test is underway in immunoglobulin G4-related disease, supported by a $225 million IPO last September. Meanwhile, startup Nuvig Therapeutics is developing proteins engineered to target Fc receptors. Late last year, Nuvig raised $161 million to support mid-stage clinical development of its lead program, a potential treatment for the rare autoimmune condition chronic inflammatory demyelinating polyneuropathy.
Merida received seed financing from Third Rock in 2022, when Gutierrez was an entrepreneur in residence at the firm. The Series A financing announced Tuesday was co-led by Bain Capital Life Sciences, BVF Partners, and Third Rock. The other investors in the new round are GV and Perceptive Xontogeny Venture Funds. The startup is led by CEO Adam Townsend, who was most recently chief operating officer at Apellis Pharmaceuticals, a company that develops drugs that address the complement system, a part of the immune system.
Illustration: Sebastian Kaulitzki/Science Photo Library, via Getty Images