DealForma’s Q1 2025 cancer review highlights strong momentum in oncology dealmaking, driven by major R&D partnerships, high-value acquisitions, and substantial venture funding that continued to accelerate innovation. In R&D, AstraZeneca partnered with Harbour BioMed ($4.4 billion total deal value) to co-develop antibodies for cancer and autoimmune diseases; AbbVie entered a $2.1 billion immunotherapy pact with Xilio and secured an option on Neomorph’s molecular glue degraders (up to $1.6 billion).
In M&A, Merck KGaA announced a $3.5 billion acquisition of SpringWorks Therapeutics (Ogsiveo, desmoid tumors), Eli Lilly acquired Scorpion’s PI3Kα program for $2.5 billion, and PureHealth acquired 60% of Hellenic Healthcare Group for $2.3 billion to expand cancer services. Venture funding highlights included Eikon Therapeutics’ $351 million series D for melanoma and solid tumor candidates, Callio Therapeutics’ $187 million series A to advance dual-payload ADCs, and Ouro Medicines’ $120 million launch to develop BCMA-targeted therapies for multiple myeloma and autoimmune diseases.
Cancer R&D Partnerships by Tech Grouping in Q1 2025
In Q1 2025, cancer R&D partnerships were dominated by biologics, which accounted for 29 of 49 deals and generated $15.8 billion in total value, with $606 million in upfront payments, significantly outpacing all other technologies. Small-molecule alliances followed with 8 deals worth $4 billion and $124 million upfront. A single gene-editing/CRISPR partnership surpassed $1 billion in value despite a modest $25 million initial payment. While genomics collaborations were more frequent (11 deals), they remained limited in scale, totaling $580 million with $28 million upfront. Overall, cancer R&D deals in the quarter reached $21.4 billion in announced value and $783 million in upfront commitments.
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 and autoimmune diseases using Harbour’s Mice platform. AstraZeneca will invest $105 million in equity (9.15% stake) and may pay up to $175 million in upfront, milestones, and option fees, with total deal value reaching $4.4 billion. The agreement includes global rights to two preclinical candidates and options for additional targets. A joint R&D center will be established in Beijing; collaboration may extend up to five years.
AbbVie research partnership with Xilio Therapeutics – February 2025
AbbVie partnered with Xilio to develop up to four tumor-activated immunotherapy programs, including masked T cell engagers. AbbVie holds exclusive global rights to one lead program and options for two more within three years. Xilio receives $52 million upfront ($42 million cash, $10 million equity) and is eligible for up to $2.1 billion in milestones and option-related fees, plus tiered royalties high single digits on option programs and mid-single digits on the lead program.
Neomorph license option deal with AbbVie – January 2025
AbbVie secured an exclusive option to license Neomorph’s molecular glue degraders targeting previously undruggable proteins in cancer and immunology. Neomorph receives an undisclosed upfront payment and may earn up to $1.6 billion in option fees and milestones, plus tiered royalties.
Cancer M&A by Tech Grouping in Q1 2025
In Q1 2025, small-molecule acquisitions dominated cancer-related M&A, accounting for 6 deals that represented 75% of the total announced value of $9 billion, including earn-outs, with $8.7 billion paid in cash. Biologics followed with 3 deals worth $1.6 billion ($755 million in cash), while 2 cell therapy acquisitions added $1.3 billion ($711 million in cash). Though more frequent, 9 deals in genomics, diagnostics, and immunotherapy contributed just $90 million combined. In total, the quarter saw 20 cancer M&A’s valued at $12 billion, with $10.3 billion in upfront payments.
Top Cancer M&A Deals in Q1 2025
Merck KGaA acquiring SpringWorks – February 2025
Merck KGaA is acquiring SpringWorks Therapeutics for $3.5 billion ($47 per share), with the announcement of closing scheduled for April 25, 2025. SpringWorks’ lead asset is Ogsiveo (nirogacestat), approved for adult desmoid tumors and in Phase II trials for other cancers, including ovarian granulosa cell tumors. Its pipeline includes Mirdametinib (pre-registration), Brimarafenib (Phase I/II), SW-682 (Phase I), and SW-3431 (preclinical), targeting various rare and solid tumors. Financial terms beyond the purchase price were not disclosed.
Eli Lilly acquiring Scorpion Therapeutics – January 2025
Eli Lilly is acquiring Scorpion Therapeutics’ PI3Kα inhibitor program, including STX-478, a Phase I/II oral therapy targeting breast cancer and advanced solid tumors. The $2.5 billion deal includes upfront and milestone payments. Scorpion’s remaining pipeline will be spun out into a new precision medicine company owned by current shareholders, with Lilly taking a minority equity stake.
PureHealth acquiring Hellenic Healthcare – January 2025
PureHealth is acquiring a 60% stake in Hellenic Healthcare Group (HHG) for $2.3 billion. HHG operates 10 hospitals and 16 diagnostic centers across Greece and Cyprus, with over 1,600 beds and services spanning cancer care, cardiology, neurology, IVF, and home care. The deal expands PureHealth’s network to serve approximately 1.4 million patients annually. Following the acquisition, CVC Capital Partners retains a 35% stake, and HHG founder Dimitris Spyridis holds a 5% stake.
Cancer Venture by Tech Grouping in Q1 2025
In Q1 2025, cancer-focused venture funding totaled $1.9 billion across 41 rounds. Genomics-led startups dominated, raising $683 million from 12 financings. Biologics secured $440 million across 7 rounds, while 4 cell therapy startups attracted $272 million. The remaining categories, including digital health, diagnostics, small molecules, a single gene-editing round, and one immunotherapy seed, together raised just under $500 million.
Top Cancer Venture Fundings in Q1 2025
Eikon Therapeutics – Series D – $350.7M – February 2025
Eikon Therapeutics closed a $351 million series D round, bringing total private funding to over $1.1 billion since its 2019 launch. The financing supports late-stage development of EIK1001, a TLR7/8 co-agonist in Phase III for advanced melanoma, with demonstrated efficacy as monotherapy and in combination with anti-PD (L)1 agents. Additional assets include EIK1003, a selective PARP1 inhibitor in Phase I for breast, ovarian, prostate, and pancreatic cancers, and EIK1004, a CNS-penetrant PARP1 inhibitor targeting brain cancers.
Callio – Series A – $187M – March 2025
Callio Therapeutics debuted with a $187 million series A round led by Frazier Life Sciences, joined by Novo Holdings, Jeito Capital, Omega Funds, and others. The funding will support clinical proof-of-concept for its lead HER2-targeted dual-payload antibody-drug conjugate (ADC) and a second undisclosed ADC program. Headquartered in Seattle and Singapore, Callio also secured an exclusive global license from Hummingbird Bioscience for its oncology-focused multi-payload ADC platform, including IP and pipeline assets, in exchange for equity, milestones, and royalties.
Ouro Medicines – Series A – $120M – January 2025
Ouro Medicines launched with $120 million in funding to develop immune-reset therapies for chronic immune-mediated diseases. Backed by TPG, NEA, Norwest, and Monograph Capital in partnership with GSK, Ouro’s lead asset is OM336, a BCMA-targeted bispecific T cell engager licensed from Keymed Biosciences. Currently in Phase 2 trials in China for multiple myeloma, OM336 shows potential for autoimmune indications such as lupus and rheumatoid arthritis. Ouro holds exclusive rights outside Greater China and plans to initiate Phase 1 trials in 2025.
Also check out Cancer R&D Partnerships, M&A, Ventures, and IPOs in 2024
