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BOSTON - PureTech Health plc (NASDAQ:PRTC, LSE:PRTC), a $420 million market cap biotech company with a "GOOD" overall financial health score according to InvestingPro, announced Tuesday the launch of Celea Therapeutics, a new entity focused on developing treatments for serious respiratory diseases, with former Teva North America CEO Sven Dethlefs appointed to lead the venture.
Celea’s lead program is deupirfenidone (LYT-100), a Phase 3-ready therapeutic candidate initially being developed for idiopathic pulmonary fibrosis (IPF), a rare and fatal lung disease. The company plans to meet with the U.S. Food and Drug Administration by the end of the third quarter to discuss Phase 3 trial design.
Dethlefs brings over 25 years of pharmaceutical experience to the role, having previously overseen Teva’s $8 billion North American business. At Teva, he played a key role in launching AUSTEDO, a deuterated medicine developed using the same chemistry approach as deupirfenidone.
"I believe deupirfenidone has the potential to be a true turning point in the treatment of IPF," said Dethlefs in the press release statement.
PureTech completed a Phase 2b trial of deupirfenidone in December 2024, which demonstrated potential to stabilize lung function decline over at least 26 weeks while maintaining a favorable safety profile. The company is seeking third-party funding to advance the program through Phase 3 and potential commercialization. With a strong current ratio of 9.33x and more cash than debt on its balance sheet, PureTech appears well-positioned for near-term operations, though InvestingPro data indicates the company is quickly burning through its cash reserves.
Deupirfenidone is a deuterated form of pirfenidone, one of two FDA-approved treatments for IPF. Current treatments offer modest efficacy and face tolerability challenges, with only about 25% of IPF patients in the U.S. receiving either approved drug, despite combined global peak sales exceeding $5 billion.
The launch aligns with PureTech’s business model of creating focused entities to advance promising therapeutic candidates in a capital-efficient manner. According to InvestingPro analysis, the company’s stock is currently trading below its Fair Value, with analysts projecting sales growth of over 400% in the current year. InvestingPro subscribers have access to 8 additional key insights about PRTC’s financial outlook and market position.
In other recent news, PureTech Health announced that Raju Kucherlapati has stepped down from his role as Chair and member of the Board of Directors. Kucherlapati’s departure marks the end of nearly two decades with the company. Sharon Barber-Lui, who currently serves as the company’s Audit Committee Chair, has been appointed as the Interim Chair of the Board. Barber-Lui will oversee the process of identifying a new Board Chair. The company plans to engage with shareholders to gather input on the criteria for the new board leadership and its evolution. These developments come as part of PureTech Health’s ongoing governance adjustments.
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