Obsidian CEO Madan Jagasia Leads Merger with Galera Therapeutics Backed by $350M Financing
Combined company to operate as Obsidian Therapeutics and advance next-generation cell therapies, with funding expected to support operations through 2028
CAMBRIDGE, Mass.— Madan Jagasia, CEO of Obsidian Therapeutics, is leading a major merger with Galera Therapeutics, alongside a $350 million private financing aimed at accelerating the development of next-generation cancer therapies.
The companies announced they have entered into a definitive all-stock merger agreement, under which both entities will become wholly owned subsidiaries of a newly formed company that will operate as Obsidian Therapeutics, Inc. The combined company plans to seek a listing on Nasdaq under the ticker symbol “OBX.”
The transaction is supported by an oversubscribed $350 million private placement from a syndicate of leading life sciences investors, including firms such as Balyasny Asset Management, Redmile, and RA Capital Management, among others. The financing is expected to close prior to completion of the merger and, combined with existing cash, is projected to fund operations into the second half of 2028.
Jagasia said the merger and financing position the company to advance its lead product candidate, OBX-115, a genetically engineered tumor-infiltrating lymphocyte (TIL) cell therapy designed to treat solid tumors.
“We believe OBX-115 offers an opportunity to provide patients with an improved TIL product and patient experience,” Jagasia said. “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 currently being evaluated in a Phase 2 clinical trial for advanced melanoma and a Phase 1 trial for non-small cell lung cancer. The therapy incorporates a regulatable membrane-bound IL-15 designed to enhance cell persistence while reducing the need for high-dose interleukin-2, potentially enabling outpatient treatment.
The company expects to report Phase 1 data for its lung cancer program in the first half of 2027, followed by topline data from a registration-enabling melanoma trial by the end of that year.
In addition to advancing Obsidian’s pipeline, the combined company will continue to support Galera’s programs. J. Mel Sorensen, CEO of Galera Therapeutics, said the deal represents a strategic path forward for shareholders, noting the potential for near-term clinical milestones and long-term value tied to prior asset agreements.
The merger comes as biotech companies increasingly pursue strategic combinations and large financings to navigate capital-intensive clinical development and bring innovative therapies to market.
