Why GammaDelta would do its Takeda build-to-buy all over again

How GammaDelta's 2017 $100 million option deal with Takeda fueled its multi-pronged pipeline strategy

Two years in, GammaDelta says the $100 million Takeda option deal it signed months after launching gave the company a boost that would have been hard to come by any other way.

Build-to-buy deal structures have recently fallen out of favor with some companies and investors, who cite the restrictions it can put on decision-making and financial returns, and a funding environment flush with venture capital making early-stage companies less reliant on pharma (see “Bye-Bye Build-to-Buy” and “Third Rock Keeps its Options Open”).

But the U.K. cell therapy startup thinks the ability to advance three programs in parallel was worth tying up with one main dance partner.

Furthermore, while build-to-buys have historically been more common for single-asset or single-target companies pursuing traditional modalities, GammaDelta Therapeutics Ltd.’s 2017 deal with Takeda Pharmaceutical Co. Ltd. suggests the large upfront payments and pharma expertise the vehicle bring could be game-changing for small companies developing platform technologies

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