Finch Therapeutics has announced they have completed an M&A with Crestovo. The two-microbiome players combined, which will take Finch’s name, with Crestovo’s late phase Clostridium difficile candidate, a large stool donation program to help build a pipeline of microbiome therapies.
Crestovo currently has the more complex pipeline of the two companies. The company advanced its lead treatment, CP101, into a phase 3 trial earlier this year on the support from data showing a smaller open-label study. Though, it will be named Finch and Finch’s CEO will take over the company.
Finch’s influence in the relationship comes from its connection to nonprofit public stool bank OpenBiome. The biotech released it earlier this year by showing it had licensed OpenBiome’s manufacturing quality system, taken C. difficile program FIN-403 through dose finding and fundraised $5.6 million. FIN-403 was set to enter phase 2 this year but has now been removed from Finch’s official company website.
Moving forward, that discovery platform could see Finch’s contribution to the combined company’s pipeline advance. In the short term, Finch’s ability to generate 1,000 microbial treatments per month may be its largest contribution to the business.
“Finch Therapeutics Group is differentiated by our unique commercial-scale manufacturing operations, which through a collaboration with OpenBiome, already delivers microbiome treatments to thousands of patients each year,” COO Joseph Lobacki stated.
Lobacki served interim CEO of Crestovo prior to the merger. Tom Borody, M.D, joins the COO on Finch’s executive team. A Crestovo scientific founder, Borody will serve as CSO of the merged company. Finch CEO Mark Smith, Ph.D., a co-founder of OpenBiome, will continue to lead the company. The executives’ first task is to guide CP101 through the phase 3 in C. difficile patients, the same suggestion that Seres Therapeutics tried and missed at in 2016.