Biopharma dealmaking surged in the first quarter of 2025, totaling $66.86 billion, well ahead of the $44.16 billion recorded in the same period last year. March contributed $29.48 billion to the total, a 237% increase from February’s $8.76 billion and closely matching January’s $28.63 billion.

Biopharma companies brought in $13.08 billion in financing during the first quarter (Q1) of 2025, marking a significant drop from every quarter of 2024. The number of financings also declined, with 239 transactions completed in Q1 this year, down from a quarterly average of approximately 299 deals in 2024.

With a promising IL-36 inhibitor for atopic dermatitis (AD, or eczema) at the phase II stage, Turn Therapeutics Inc. has gained $75 million in post-public commitments and meanwhile is pursuing a grassroots strategy to keep the coffers in balance.

The sparsity of mid-to-late stage prospects in atopic dermatitis (AD, or eczema) – which has proved an especially challenging indication – plus some newsmaking fizzles in the space have caused developers to probe new targets with particular intensity. Most popular approaches thus far involve IL-4, IL-13, thymic stromal lymphopoietin and JAK. Developers have stumbled for varying reasons such as high placebo response rates, safety or lack of clinical proof of concept. Among the potential AD rescuers is Nektar Therapeutics Inc. with rezpegaldesleukin (rezpeg), which takes aim at IL-2.

Remegen Co. Ltd. emerged as a surprise challenger in the generalized myasthenia gravis space, unveiling positive phase III data of its China-approved lupus drug, telitacicept (RCT-18; Tai’ai), in the rare autoimmune neuromuscular disorder at the 2025 American Academy of Neurology conference.

The BioWorld Cancer Index ended the first quarter (Q1) of 2025 down 4.74%, retreating after a promising start that saw the index rise 5.78% by the end of January. In the first quarter, 20 stocks declined in value while just nine posted gains.

After gaining 5.78% in January, the BioWorld Cancer Index reversed course, falling 4.74% year-to-date by the end of March. The index’s movement has closely tracked broader market trends. The Nasdaq Biotechnology Index climbed to 5.15% at the end of January but ended the first quarter down 1.54%. Similarly, the Dow Jones Industrial Average rose 4.7% in the first month of the year before slipping to a 1.28% loss through March.