CAMBRIDGE, Mass– Obsidian Therapeutics and Galera Therapeutics have agreed to merge in an all-stock transaction, creating a combined company focused on advancing engineered cell therapies for cancer.
The combined company will operate under the name Obsidian Therapeutics, Inc. and plans to list on Nasdaq under the ticker symbol “OBX.”
Alongside the merger, the companies secured commitments for an oversubscribed $350 million private placement from a group of new and existing investors. The financing is expected to fund operations into the second half of 2028 and support multiple clinical milestones.
The combined company will prioritize development of Obsidian’s lead candidate, OBX-115, a genetically engineered tumor-infiltrating lymphocyte cell therapy. The therapy is currently being studied in a Phase 2 trial for advanced melanoma and a Phase 1 trial for non-small cell lung cancer.
Upcoming milestones include Phase 1 lung cancer data expected in the first half of 2027 and melanoma data intended to support registration by the end of 2027.
“At Obsidian, we are striving to deliver a best-in-class TIL cell therapy developed using our proprietary protein-regulation technology,” said Madan Jagasia, M.D., Chief Executive Officer of Obsidian. “We believe OBX-115 offers an opportunity to provide patients with an improved TIL product and patient experience. This transaction and the support from leading life sciences investors will allow us to advance our development plans for OBX-115 in melanoma and NSCLC.”
OBX-115 is designed to enhance persistence of therapeutic cells while avoiding the need for high-dose interleukin-2, a treatment often associated with toxicity. The therapy can also be manufactured using minimally invasive tumor biopsies and has received Fast Track and Regenerative Medicine Advanced Therapy designations from the U.S. Food and Drug Administration for advanced melanoma resistant to prior immunotherapy.
Galera Therapeutics, which has been developing treatments for advanced breast cancer, will continue to have its pipeline supported following the merger.
“We believe this transaction with Obsidian is the best path forward for Galera and look forward to the combined company’s success,” said J. Mel Sorensen, M.D., Chief Executive Officer of Galera. “Obsidian’s pipeline of novel engineered TIL cell therapies and its promising lead product candidate, OBX-115, offer near-term, value creating milestones for Galera stockholders. In addition, Galera stockholders will retain a contingent value right for 95% of all future milestones for up to 10 years arising out of its October 2025 Asset Purchase Agreement with Biossil.ai for its dismutase mimetics.”
Under the terms of the deal, existing Obsidian shareholders are expected to own about 53.2% of the combined company, while investors in the private placement will hold approximately 45.0%. Galera shareholders are expected to own about 1.8%, subject to adjustments based on the company’s cash position at closing.
The transaction has been approved by both companies’ boards and is expected to close in the third quarter of 2026, pending shareholder approval and other customary conditions.
