Pfizer’s new FDA-approved ulcerative colitis drug Velsipity comes from its $6.7 billion Arena Pharmaceuticals acquisition. The small molecule will compete against blockbuster Bristol Myers Squibb drug Zeposia, which addresses the same target.

Gilead Sciences is partnering with Tentarix Biotherapeutics, a startup developing multifunctional antibody drugs that it calls “Tentacles.” Tentarix’s technology offers the potential to selectively address targets in cancer and inflammation.

Sanofi is interested in Recludix Pharma’s approach to treating inflammation with an oral small molecule that targets a protein thought to be undruggable. If it works, the drug could have safety and dosing advantages over currently available biologic drugs, including blockbuster Sanofi drug Dupixent.

Johnson & Johnson’s oral psoriasis drug met the goals of a mid-stage clinical study, and the pharma giant now plans to advance the twice-daily pill to Phase 3 testing. J&J is one of several biopharmaceutical companies developing pill alternatives to biologic drugs that are injected or infused.

Apogee Therapeutics is planning an IPO to fund clinical development of biologic drugs that could offer dosing advantages over currently available immunology and inflammation drugs. Its lead program is being prepared for Phase 1 testing in atopic dermatitis, or eczema.

AstraZeneca is paying $85 million to kick off an alliance with Quell Therapeutics focused on developing new cell therapies for autoimmune diseases. Type 1 diabetes and inflammatory bowel disease are the focus of the research collaboration.

By selling U.S. rights to Yutiq, EyePoint Pharmaceuticals gets $75 million cash to support its drug pipeline. The company’s lead product candidate is in mid-stage development for wet age-related macular degeneration and non-proliferative diabetic retinopathy.

Merck, Sanofi, and Eli Lilly joined the Series A financing of Therini Bio, a startup developing a drug that selectively targets fibrin as a way of reducing disease-driving inflammation in neurodegeneration and eye disorders such as diabetic macular edema. Therini is preparing to advance its lead program to clinical testing.

The biggest rounds of recent biotech financings are from startups raising money to advance their research to the clinic. Here’s a look back at funding rounds from companies such as Abdera Therapeutics, Complement Therapeutics, and Enveda Biosciences.

Regeneron is paying Sonoma Biotherapeutics $75 million to begin a partnership focused on developing cell therapies based on regulatory T cells, or Tregs. Each company brings technological capabilities to the alliance, which is initially focused on ulcerative colitis and Crohn’s disease.

Takeda Pharmaceutical drug TAK-279 achieved the main goal of a mid-stage clinical trial in plaque psoriasis, setting the stage for Phase 3. The Japanese pharmaceutical giant sees the small molecule as complementary to its top-selling product, the blockbuster inflammatory bowel disorder drug Entyvio, and competitive against Bristol Myers Squibb’s Sotyktu.

While most targeted protein degradation drug research has focused on cancer, Kymera Therapeutics’ Phase 1 data bring validation for this approach in treating inflammation. Kymera partner Sanofi has elected to advance the biotech’s program to mid-stage testing in two inflammatory skin disorders.

Sanofi submitted the first unsolicited offer to acquire Horizon Therapeutics, but Amgen ultimately won what became a competitive bidding process. Amgen says Horizon’s drug lineup complements its own portfolio of autoimmune and inflammatory disorder products.  

GSK drug otilimab failed a Phase 3 test in rheumatoid arthritis. Though the antibody drug met the main goal in two other pivotal studies, GSK said the limited efficacy in the third study means the company will not seek regulatory approval.

Sudo Bioscience emerged with $37 million in funding and four programs that address TYK2, a promising target for autoimmune diseases. Bristol Myers Squibb drug Sotyktu recently won the first FDA approval for a TYK2 inhibitor but Sudo claims its molecules have the potential to be best in this new drug class.

Novo Nordisk is acquiring global rights to a Ventus Therapeutics drug candidate with potential applications in cardiometabolic disorders such as NASH and chronic kidney disease. The small molecule blocks a protein that has become an attractive target for big pharmaceutical companies, such as Roche and Novartis.

Third Harmonic Bio’s IPO raised $183.3 million for clinical development of an inflammation drug licensed from Novartis. The biotech was able to find enough investor interest to increase the deal size, offering 1.9 million more shares than initially planned.

Third Harmonic Bio, which emerged from stealth early this year with a lead drug from Novartis and a $105 million round of funding, has not yet set any financial terms for its planned IPO. But the biotech plans to use the IPO cash for early and mid-stage clinical tests of its small molecule in multiple inflammatory indications.

Ventus Therapeutics’ lead programs address pathways associated with inflammation. Led by CEO Marcelo Bigal, the biotech discovers its drugs using computational analysis to understand the structure of proteins and find small molecules that can hit these “undruggable” targets.

Sales of blockbuster Pfizer drug Xeljanz are under pressure from a stronger safety warning placed across that drug’s entire class. In acquiring Arena Pharmaceuticals for $6.7 billion, Pfizer gets a lead compound with a different and potentially safer approach to treating inflammatory conditions.

Biotech startup Exo Therapeutics aims to overcome the challenges of drugging proteins by targeting exosites, locations that modulate enzyme activity. The company has four small molecule drug candidates for cancer and inflammation, and the company plans to use the $78 million in new financing to advance them toward human testing.

Atopic dermatitis patients now have a new therapeutic option that comes as a topical cream. The FDA approved Incyte’s drug, Opzelura, as a treatment for the inflammatory skin condition, but the regulatory nod comes with a black box warning on the label that broadly covers the entire class of JAK inhibitors.

The FDA has granted emergency use authorization to a Roche antibody as a treatment for hyperinflammation in patients hospitalized with severe Covid-19. The drug, Actemra, is an anti-inflammatory medication already approved for treating rheumatoid arthritis.

Amgen is paying Kyowa Kirin $400 million to share in the development of a drug that could offer a new approach to treating atopic dermatitis, a form of eczema. The deal comes months after Japan-based Kyowa Kirin reported positive preliminary Phase 2 data for its antibody.

RA Capital led Ventus Therapeutics’ Series B financing, which the startup will use to develop its pipeline of medicines for “undruggable” disease targets. CEO Marcelo Bigal said the cash also gives Ventus the flexibility to consider an IPO.

Vividion Therapeutics has technology that enables it to develop drugs for “undruggable” disease targets. The Series C financing is a crossover round, an indication a biotech is preparing for an IPO.

Eli Lilly is paying $125 million up front to team up with Rigel Pharmaceuticals on drugs that block a signaling protein involved in inflammation. With the alliance, Lilly joins Sanofi and Denali Therapeutics in the pursuit of drugs that block this protein.

In a call to following news of the deal, executives pointed to near-term launch opportunities and pipelines, but some analysts expressed concern about the loss of patent protection for Revlimid and Opdivo.