Proteon Therapeutics Inc.'s inventorying of options after the phase III failure with vonapanitase in chronic kidney disease (CKD) ended in a merger deal with Artara Therapeutics Inc., a startup that has hung its main hat on TARA-002, a therapy for lymphatic malformations (also called lymphangiomas) that has already gained validation by way of a similar product in Japan.

Anokion SA, a Swiss biotech focused on autoimmune disease, is bringing in-house a startup it spun out for a development alliance with Astellas Pharma Inc. The acquisition of Kanyos Bio Inc., announced alongside news it closed a $40 million series B financing, puts front and center KAN-101, a preclinical celiac disease drug poised for an IND filing by year-end. Together with Anokion's lead candidate, ANK-780, an antigen-specific treatment for multiple sclerosis (MS), the company anticipates having two programs in clinical development within the next 12 months.

PERTH, Australia – Australian cell therapy developer Mesoblast Ltd. has partnered with Germany's Grünenthal Group to develop and commercialize Mesoblast's allogeneic cell therapy candidate, MPC-06-ID, in a deal that carves out Europe, Latin America and the Caribbean.

Japan's Sumitomo Dainippon Pharma Co. Ltd. plans to pay $3 billion to acquire Roivant Sciences Ltd.'s ownership interests in five biopharma companies, plus options to acquire up to six more from the prolific company-builder. The deal, slated to close in October, would give Sumitomo Dainippon controlling interests in Myovant Sciences Inc., Urovant Sciences Inc., Enzyvant Therapeutics Inc. and Altavant Sciences Inc., as well as an equity stake of more than 10% in Roivant itself.

CEO Travis Mickle said prodrug-focused Kempharm Inc.'s potential $493 million deal with Gurnet Point Capital (GPC) marks "the end of a long journey to reach a very valuable point" in the story of the company, which has "ended with the same goal it started with" – gaining the best possible partner for attention deficit and hyperactivity disorder (ADHD) prospects KP-415 and KP-484.

Shares of San Diego-based Cidara Therapeutics Inc. (NASDAQ:CDTX) enjoyed a skyward ride, closing Tuesday at $2.35, up 67 cents, or 40%, on word of a deal with Mundipharma International Ltd., of Cambridge, U.K., to develop and commercialize rezafungin for invasive fungal infections. "Historically, [antifungal] pricing has been much stronger in the EU, so that is an important opportunity for us and now for Mundipharma as well," Cidara CEO Jeffrey Stein said.

HONG KONG – Daejeon, South Korea-based Alteogen Inc. said that it has signed a licensing agreement with Brazil's Cristália Produtos Químicos Farmacêuticos Ltd. to jointly develop and commercialize Alteogen's ALT-P1, a persistent growth hormone for children.

Calling the tie "magic," Pfizer Inc. CEO Albert Bourla defended his firm's decision to spin off its Upjohn unit and merge in an all-stock deal with Mylan N.V., creating a new entity to be named later with pro forma revenues as high as $20 billion. "We have a commercial footprint that is very much focused on China, on emerging markets," he said, which will help Mylan.

Shares of Lexicon Pharmaceuticals Inc. (NASDAQ:LXRX) fell 70.3% Monday to $1.69 as Sanofi SA terminated a $1.7 billion diabetes collaboration with the company. The decision followed two trials in which Zynquista (sotagliflozin), a dual SGLT inhibitor, failed to make a statistically significant dent in blood sugar control in patients with chronic kidney disease, a common result of diabetes.

DUBLIN – Zambon SpA is acquiring Breath Therapeutics BV for €140 million (US$155.8 million) up front plus up to €360 million more in regulatory and commercial milestones linked to the progress of Breath's drug-device combo, which is currently in phase III development for bronchiolitis obliterans syndrome (BOS), a fatal form of airway inflammation that can arise in lung transplant recipients.