Ambys Medicines and Takeda Pharmaceutical Company have agreed to partner on creating new therapies for the treatment of serious liver diseases.

At present, the application of novel modalities, including cell and gene therapy, as well as gain-of-function drug therapy, are being developed by Ambys to meet the urgent need for treatments that restore liver function, thereby preventing the progression to liver failure from multiple diseases.

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This is in alignment with Takeda’s strategy in gastroenterology to focus on the considerable unmet need in liver through major investment in novel chemistry, as well as cell and gene therapy platforms.

Ambys Medicines CEO Jeffrey Tong said: “Ambys will undertake an intense and sustained effort to advance fundamental science and technology, while developing multiple programmes aimed at diverse liver disease targets.

“We are uniting a broad range of scientific innovators to help lead a new era of discovery and clinical translation for people with severe liver diseases, and we are delighted to join forces with Takeda in this important effort.”

“We are uniting a broad range of scientific innovators to help lead a new era of discovery and clinical translation for people with severe liver diseases.”

Under the terms of the agreement, Takeda has committed $100m and will also participate in the Series A financing round.

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In return, Takeda has the option to commercialisation rights in countries outside of the US for the first four products that reach an investigational new drug (IND) application created as part of the partnership.

If the company opts to exercise this option for a product, it will contribute 50% of the development costs for any optioned programme, while making development and regulatory milestone payments.

But irrespective of Takeda’s decision over commercialisation, full US rights would be retained by Ambys.

Takeda Gastroenterology Therapeutic Area Unit head Asit Parikh said: “This partnership underscores the exciting potential we see to deliver on the promise of regenerative medicine for people with liver disease.”