Lilly ends partnership with Foghorn after lead cancer drug fails efficacy tests

Lilly announced it is ending its collaboration with Foghorn Therapeutics after the biotech's lead cancer candidate, FHD-909, did not meet efficacy benchmarks in testing. The decision halts the joint synthetic lethality program and a second experimental medicine targeting the SMARCA2 gene.

Foghorn said it will cut about 40% of its workforce as it discontinues the failed programs and severs the partnership that began in 2021. The move follows earlier setbacks for the company, including a 2022 hold on a leukemia trial after patient deaths.

Analysts noted the termination is a disappointment because FHD-909 was Foghorn's most advanced and valuable asset. The company's shares have already fallen dramatically since its 2020 IPO, reflecting the cumulative impact of these challenges.