Nov. 15 Quick Takes: Kite, Arcellx expand CAR T deal 

The Kite Pharma Inc. unit of Gilead Sciences Inc. (NASDAQ:GILD) is expanding its collaboration with Arcellx Inc. (NASDAQ:ACLX) and increasing its stake in the biotech as it looks to differentiate in the BCMA-targeting CAR T cell space. Kite will exercise an option to ACLX-001, an ARC-SparX program in Phase I testing for multiple myeloma, and is expanding the scope of its CART-ddBCMA collaboration to include lymphomas. The company’s ARC-SparX program involves CAR T cells plus adaptor proteins that bind the CAR and a tumor antigen; its ddCAR platform uses specialized D-Domains on the therapeutic cells to bind tumor antigens.

Gilead will make a $200 million equity investment in Arcellx via the purchase of 3.2 million shares, putting its ownership at 13% and extending Arcellx’s runway into 2027. Arcellx will also receive $85 million up front, plus undisclosed milestones. Gilead is purchasing the shares at $61.68, a 30% premium to Arcellx’s close of $47.47 on Tuesday. Arcellx gained $2.52 on Wednesday, closing at $49.99...