Three deals announced this week reflect continued investment in rare and underserved diseases, as Eli Lilly has announced it has licensed a novel GLP-2 therapy for intestinal conditions, Servier moved to acquire a first-in-class muscular dystrophy program for up to $2.65 billion, and Avenzo is set to go public through a merger agreement with Rallybio, raising $215M to advance its Oncology pipeline.

Lilly licenses Hanmi's GLP-2 candidate

Eli Lilly entered a license agreement with Hanmi for sonefpeglutide, a long-acting GLP-2 currently in a global Phase II clinical trial for short bowel syndrome.¹ Under the terms of the deal, Lilly is set to receive exclusive worldwide rights to develop, manufacture, and commercialize sonefpeglutide outside of Korea, while Hanmi is expected to continue conducting the ongoing Phase II SBS trial through completion. Lilly will explore additional clinical development based on existing nonclinical and clinical data.

Hanmi is eligible to receive $75 million upfront along with upwards to $1.185 billion in development, regulatory, and commercial milestones, plus royalties on future sales.¹

Sonefpeglutide is built on Hanmi's proprietary Lapscovery long-acting platform, which has already produced one FDA-approved biologic and underpins five additional global clinical programs.¹ GLP-2 is a hormone involved in promoting intestinal growth, reducing inflammation, and protecting and regenerating the intestinal mucosa, functions with therapeutic relevance across a range of gastrointestinal conditions beyond short bowel syndrome.

"It is highly meaningful that Lilly, one of the most closely watched innovators globally, has highly recognized the development potential for sonefpeglutide," said Juhyun Lim, vice chairman of Hanmi.

Servier acquires Edgewise Therapeutics' muscular dystrophy business

Ina. Separate deal, Servier agreed to acquire the muscular dystrophy business of Edgewise Therapeutics for $1.55 billion in upfront costs and up to $1.1 billion in regulatory and commercial milestones.² The deal secures sevasemten, an investigational first-in-class oral fast skeletal myosin inhibitor designed to protect unstable muscle from contraction-induced damage.

The transaction is expected to close in the third quarter of 2026.

"This acquisition aims to provide targeted therapies to patients with rare neuromuscular disorders. Developing treatments for young and adult patients, with highly debilitating rare conditions and limited to no options today, is at the heart of our mission," said Olivier Laureau, president of Servier.

Sevasemten is currently being evaluated in a pivotal cohort in Becker muscular dystrophy and in a Phase II trial in Duchenne muscular dystrophy, two rare X-linked genetic disorders with significant unmet need. BMD causes progressive, irreversible muscle loss with no currently approved treatments.² DMD, the more severe form, causes loss of walking ability by the early teens and carries a median life expectancy of around 30 years.

The acquisition positions Servier as a global player in neuromuscular disorders while also advancing its Servier 2030 strategy in neurology.² The deal will also include Edgewise's associated capabilities and team alongside the clinical asset.

Kevin Koch, Ph.D., president and CEO of Edgewise, said: "We believe Servier is well positioned to advance sevasemten and the muscular dystrophy program given its commitment to patients, growing focus in neurology, and global development capabilities. This transaction is designed to place the program in the hands of an organization with the experience and infrastructure to support its continued development for people living with Becker and Duchenne muscular dystrophies."

Avenzo Enters Merger Agreement with Rallybio

Avenzo Therapeutics is set to become a publicly traded company through a new merger deal with Rallybio Corporation.

The merger agreement is backed by an oversubscribed $215 million private financing from a syndicate of healthcare investors.³ The combined company, which is set to operate as Avenzo Therapeutics and trade under the ticker AVZO, is expected to have funding into late 2028.

As part of the deal, Avenzo is advancing four clinical-stage oncology programs, including selective CDK2 and CDK4 inhibitors for breast cancer and two bispecific antibody-drug conjugates targeting solid tumors.

The transaction is expected to close in the fourth quarter of 2026, subject to shareholder approval and customary closing conditions and upon closing, Avenzo shareholders and financing participants are expected to own approximately 97.2% of the combined company.³

Sources

1. Hanmi Signs Licensing Deal with Lilly for sonefpeglutide (LAPSGLP-2 analog) Hanmi Pharm. Co. May 31, 2026 https://www.prnewswire.com/news-releases/hanmi-signs-licensing-deal-with-lilly-for-sonefpeglutide-lapsglp-2-analog-302786590.html
2. Servier to Acquire Edgewise Therapeutics' Muscular Dystrophy Business Servier June 1, 2026 https://www.prnewswire.com/news-releases/servier-to-acquire-edgewise-therapeutics-muscular-dystrophy-business-302787020.html
3. Rallybio Corporation and Avenzo Therapeutics Announce Merger Agreement to Advance Next-Generation Oncology Therapies and $215 Million Concurrent Private Placement Rallybio June 1, 2026 https://www.businesswire.com/news/home/20260531328050/en/Rallybio-Corporation-and-Avenzo-Therapeutics-Announce-Merger-Agreement-to-Advance-Next-Generation-Oncology-Therapies-and-%24215-Million-Concurrent-Private-Placement