Sentynl inks up to $475M licensing deal to commercialize Mereo’s alvelestat for rare lung disease

Sentynl Therapeutics, a subsidiary of Zydus Lifesciences, signed an agreement to obtain exclusive U.S. rights to market alvelestat, Mereo BioPharma’s investigational therapy for alpha-1 antitrypsin deficiency-associated lung disease.

The deal includes an undisclosed upfront fee, a $40 million payment if the option is exercised, and up to $435 million in milestone payments plus tiered royalties on U.S. net sales.

Alvelestat, a small-molecule neutrophil elastase inhibitor, is slated to enter Phase 3 trials in 2027, positioning Sentynl for future commercialization of the rare-disease drug in the United States.