One of Canada’s top biotech prospects has been called up to the big leagues.
What happened: British pharma giant AstraZeneca is acquiring a promising Canadian biotech firm, Hamilton-based Fusion Pharmaceuticals, in a deal worth up to $3.26 billion.
- Fusion is known for developing new radiation-based cancer treatments that specifically target tumours while reducing the damage done to healthy cells.
- In recent months, major drug makers, including Eli Lilly and Bristol Myers Squibb, have also shelled out billions for biotech firms developing similar cancer therapies.
Why it matters: Side effects like vomiting, hair loss, and skin problems are often triggered by radiation that hits healthy cells. By targeting only the cancerous tissue, Fusion’s drugs and other targeted therapies could offer a more effective and less painful patient experience.
- AstraZeneca says that Fusion’s treatments can eventually replace methods more prone to side effects, like chemotherapy and non-targeted radiation therapy.
- That shift would be a big deal given that 30% to 50% of all cancer patients receive some form of radiation therapy during treatment.
Zoom out: The Fusion deal comes on the heels of three $1 billion-plus acquisitions in the Canadian biotech industry last year. Experts say that Canada’s collaborative approach between academia, industry, and government has helped create a strong and sustainable biotech sector.—LA