Mission Therapeutics has signed a deal worth up to US$292 million to divest its Phase 2-ready acute kidney injury (AKI) candidate MTX652 to Australian biotechnology company Dimerix, allowing the Cambridge-based company to sharpen its focus on developing treatments for central nervous system (CNS) disorders.

Under the agreement, Dimerix will take forward development of MTX652, a selective USP30 inhibitor being developed as a potential treatment for acute kidney injury. Mission will receive upfront, development and commercial milestone payments worth up to US$292 million, together with tiered royalties on future global net sales.

The agreement enables Mission to focus resources on advancing its lead CNS programme, MTX325, which is currently in Phase 1 clinical development as a potential treatment for Parkinson’s disease.

MTX652 has completed Phase 1 clinical development and is now ready to progress into Phase 2 studies. Dimerix, which specialises in kidney disease, said the acquisition expands its renal pipeline beyond chronic kidney disease and complements its existing clinical programmes.

Dr Anker Lundemose, executive director at Mission Therapeutics, said: “MTX652 has demonstrated a compelling clinical profile in Phase 1 development completed by Mission Therapeutics to date. There is a substantial unmet need for novel efficacious therapies for acute kidney diseases and MTX652 represents a unique step forward for patients with these conditions.

“Dimerix’s deep domain focus on renal disease and their proven operational expertise make them an excellent partner to further the development and commercialisation of this important drug. This transaction provides an expedited path to patients for MTX652. It also strengthens Mission’s financial position, which will enable us to accelerate development of our lead CNS-focused asset MTX325.”

The companies said the transaction reflects Mission’s strategy of partnering programmes with organisations that have expertise in specific therapeutic areas, while allowing the company to concentrate on its CNS pipeline.

Dr Nina Webster, chief executive officer and managing director at Dimerix, said: “MTX652 represents an exciting and differentiated novel compound, and the acquisition of a Phase 2-ready programme in acute kidney disease represents an important step in executing our strategy to expand our renal pipeline.

“This asset is highly complementary to our Phase 3 FSGS program and broadens our development footprint across the kidney disease continuum, from acute injury through to chronic disease.”

Acute kidney injury is characterised by a sudden decline in kidney function and remains associated with significant illness and mortality. Despite advances in supportive care, there are currently limited treatment options available, making the development of new therapies an important area of clinical research.