Mereo BioPharma licenses alvelestat to Sentynl Therapeutics

Mereo BioPharma said on Friday it has licensed its experimental drug alvelestat to Sentynl Therapeutics, granting the latter exclusive global rights to develop and commercialize the treatment for inflammatory lung diseases.

The agreement includes an upfront payment of $10 million to Mereo, with potential additional payments of up to $445 million tied to regulatory and commercial milestones, according to a joint statement. Sentynl will oversee all development, manufacturing and commercialization activities worldwide.

Alvelestat, an oral neutrophil elastase inhibitor, is being evaluated for conditions including bronchiectasis and chronic obstructive pulmonary disease (COPD). Clinical studies to date have focused on its safety and efficacy in reducing lung inflammation and tissue damage.

Sentynl, a privately held biopharmaceutical company, did not disclose further financial terms or timelines for regulatory submissions. Mereo retains rights to alvelestat in certain Asian markets outside the U.S. and Europe, the statement added.

The deal reflects growing consolidation in the respiratory therapeutics sector as companies seek to expand pipelines amid unmet medical needs in inflammatory lung diseases.