Cancer activity by TA was strong in Q1 2025, with significant R&D partnerships, acquisitions, and venture investments signaling continued growth. In R&D, AstraZeneca and Harbour BioMed partnered in a $4.4 billion platform deal to co-develop fully human antibodies for cancer and autoimmune diseases, including a $105 million equity stake. AbbVie signed a $2.1 billion immunotherapy deal with Xilio Therapeutics for masked T cell engagers and a $1.6 billion option-based partnership with Neomorph to develop molecular glue degraders for cancer and immune disorders.
M&A activity was led by Merck KGaA’s $3.5 billion acquisition of SpringWorks, expanding its rare oncology portfolio, and Eli Lilly’s $2.5 billion acquisition of Scorpion Therapeutics’ PI3Kα inhibitor program, reinforcing its targeted therapies in breast and solid tumors. PureHealth’s $2.3 billion majority stake in Hellenic Healthcare marked its entry into European oncology and specialty care markets.
On the venture front, Eikon Therapeutics raised $351 million in series D funding to support its Phase III melanoma program, while Callio Therapeutics launched with $187 million in series A to advance multi-payload ADCs, and Ouro Medicines debuted with $120 million in series A to develop immune-reset therapies for chronic B-cell-driven conditions.
Cancer – R&D Partnerships
In Q1 2025, cancer R&D saw 63 partnership deals totaling $21.4 billion, though only $800 million was paid upfront, indicating a strong reliance on milestone-based payments. This marks a slowdown from Q4 2024, which recorded 74 deals worth $23.6 billion, with $3.6 billion paid at signing. Over the two quarters, 137 deals were signed, valued at $45.1 billion, with $4.4 billion in upfront payments.
Top Cancer R&D Partnerships in Q1 2025
AstraZeneca research partnership with Harbour BioMed – March 2025
AstraZeneca partnered with Harbour BioMed to co-develop fully human antibodies for cancer, autoimmune, and other diseases using the Harbour Mice platform. The deal includes rights to two preclinical candidates, with options to expand targets and extend the collaboration for five years. Harbour will set up a joint R&D center in Beijing. Financial terms: up to $175 million in upfront, milestones, and option fees, a $105 million equity stake (9.15%), and up to $4.4 billion in potential milestones and royalties.
AbbVie research partnership with Xilio Therapeutics – February 2025
AbbVie and Xilio Therapeutics will co-develop up to four immunotherapy programs, including masked T cell engagers. AbbVie holds global rights to one program with options for two more. Xilio leads preclinical work; AbbVie will take over development and commercialization upon option exercise. The deal includes $52 million upfront ($42 million cash, $10 million equity) and up to $2.1 billion in milestones and fees, plus tiered royalties.
Neomorph license option deal with AbbVie – January 2025
Neomorph entered a discovery-stage partnership with AbbVie, granting an exclusive option to license molecular glue degraders for cancer and autoimmune diseases. These novel small molecules enable targeted protein degradation, including traditionally undruggable targets. The collaboration combines Neomorph’s discovery platform with AbbVie’s development expertise. Neomorph will receive an undisclosed upfront payment and is eligible for up to $1.6 billion in option fees and milestones, plus tiered royalties.
Cancer – M&A
Cancer-related M&A activity intensified in Q1 2025, with 22 deals totaling $15.3 billion, $12.8 billion of which was paid upfront, signalling strong buyer confidence and a move away from milestone-heavy structures. While Q4 2024 saw slightly more deals (24), total value reached just $5.5 billion, with $3.3 billion in upfront payments. Combined, the two quarters recorded 46 acquisitions worth $20.8 billion, including $16.2 billion in immediate payments.
Top Cancer M&A’s in Q1 2025
Merck KGaA acquiring SpringWorks – February 2025
Merck KGaA announced the acquisition of SpringWorks Therapeutics for $3.5 billion, or $47 per share, with the deal set to close on April 25. SpringWorks’ lead drug, Ogsiveo (nirogacestat), is approved for adult desmoid tumors and in Phase II for multiple additional indications, including ovarian granulosa cell tumors and multiple myeloma. Its pipeline also includes late-stage Mirdametinib for plexiform neurofibroma, Brimarafenib for solid tumors, and several early-stage oncology assets. The acquisition strengthens Merck KGaA’s oncology portfolio with both commercial and pipeline assets targeting rare and difficult-to-treat cancers.
Eli Lilly acquiring Scorpion Therapeutics – January 2025
Eli Lilly announced the acquisition of Scorpion Therapeutics’ PI3Kα inhibitor program, including STX-478, a Phase I/II oral therapy for breast cancer and other advanced solid tumors. The deal enhances Lilly’s targeted oncology pipeline, particularly in breast cancer. Scorpion will spin out its remaining assets into a new precision medicine company, owned by current shareholders, with Lilly taking a minority stake. Scorpion may receive up to $2.5 billion in cash, including upfront and milestone payments.
PureHealth acquiring Hellenic Healthcare – January 2025
PureHealth announced the acquisition of a 60% stake in Hellenic Healthcare Group (HHG) for a total deal value of $2.3 billion. HHG operates 10 hospitals and 16 diagnostic centers across Greece and Cyprus, offering services in cancer care, cardiology, neurology, IVF, and home care. The integration expands PureHealth’s reach to approximately 1.4 million patients annually. Post-acquisition, CVC Capital Partners VI retains a 35% stake, and HHG founder Dimitris Spyridis holds 5%. The deal marks PureHealth’s strategic entry into the European healthcare market.
Cancer – Venture Funding Activity
In Q1 2025, cancer-focused start-ups secured 54 venture rounds totaling $2.2 billion, a slight increase from Q4 2024, but with smaller average investments. The previous quarter saw 53 rounds raise $2.5 billion, with average round size dropping from $47 million to $41 million. Across both quarters, 107 financings generated $4.7 billion, following a strong close to 2024.
Top Cancer Venture Fundings in Q1 2025
Eikon Therapeutics – Series D – $350.7M – February 2025
Eikon Therapeutics raised $351 million in a series D round, bringing its total private funding to over $1.1 billion since its 2019 launch. The round was led by existing backers, with participation from new investors, including major mutual funds, sovereign wealth funds, and health-tech venture capitalists such as T. Rowe Price, UC Investments, Lux Capital, and Foresite Capital. Proceeds will support R&D expansion and clinical operations. Eikon’s lead candidate, EIK1001, a TLR7/8 co-agonist, is currently in a Phase III trial for advanced melanoma.
Callio – Series A – $187M – March 2025
Callio Therapeutics launched with a $187 million series A financing to advance its multi-payload antibody-drug conjugate (ADC) programs for cancer treatment. The round was led by Frazier Life Sciences, with participation from Jeito Capital, Novo Holdings, Omega Funds, and others. Headquartered in Seattle and Singapore, Callio will use the funds to progress its HER2-targeted dual-payload ADC and a second undisclosed program to clinical proof-of-concept. The company also secured a global license from Hummingbird Bioscience for its ADC platform and related IP, in exchange for equity, milestones, and royalties.
Ouro Medicines – Series A – $120M – January 2025
Ouro Medicines launched with $120 million in series A funding to develop immune reset therapies targeting chronic immune-mediated diseases, with an initial focus on B cell-driven conditions. The company was founded by Monograph Capital in collaboration with GSK, and the financing was co-led by TPG Life Sciences Innovations, NEA, and Norwest Venture Partners. Additional investors include GSK, UPMC Enterprises, Boyu/Zoo Capital, and LongRiver Investments. Ouro aims to offer alternatives to long-term immunosuppressive treatments, which often have limited efficacy and high toxicity.
Also check out Cancer R&D Partnerships, M&A, Ventures, and IPOs in 2024
