US-based NOK Therapeutics Inc has also stepped forward as a buyer for the patents and the intellectual property developed by XNK Therapeutics. During the bankruptcy process, twenty-four employees were laid off.

“We managed to sell both the GMP facility and the patents, and I think it’s good technology,” says Johan Liwing, former CEO of XNK Therapeutics. “So the work will continue to the benefit of the patients.”

Most of XNKs employees have now been able to find new jobs too, he adds. “We had a very attractive team.”

An opportunity for BioLamina

XNK declared bankruptcy in April and the sale of XNK’s in-house good manufacturing practice facility (GMP) was completed in May.

“Our team at BioLamina is very happy about the opportunity to take over XNK’s fine facility in Flemingsberg. We saw opportunities for the premises and equipment to be used, with only minor adjustments needed, in our continued capacity expansion of both existing and future products. We are also pleased to have been able to offer some of XNK’s talented employees work with us – they will be of great help in our ongoing expansion,” says Anders Lindblad, Vice President of Strategic Development at BioLamina.

Work will continue

Since the company was founded ten years ago, XNK Therapeutics has been crafting novel autologous natural killer (NK) cell-based therapies targeting cancer. According to information from the company, its research focused on developing a broad technology platform for NK cell-based therapies derived from a method for expanding and activating the patient’s own NK cells.

A lot of research is under way in this area of NK cells with a focus on different cancer indications, and I really hope the new buyer of the patents, NOK Therapeutics, can take the progress we made further into the clinic and ultimately make a treatment out of it.

As recently as January, XNK was given a scientific recommendation from the European Medicines Agency’s (EMA) Committee for Advanced Therapies for its product Evencaleucel. The company was working on treatments for multiple types of cancer.

“A lot of research is under way in this area of NK cells with a focus on different cancer indications, and I really hope the new buyer of the patents, NOK Therapeutics, can take the progress we made further into the clinic and ultimately make a treatment out of it. They have stated that they will continue to advance the work XNK has done within multiple myeloma while aiming to add additional indications as well, which I think is great,” says Liwing.

The financial market was too tough

While XNK’s work showed promise, the company could not raise enough money to stay in business.

We were trying hard to raise capital over the last year. Our team did a fantastic job, but the financial market is too tough for us right now.

“In biotechnology, you burn money every month, but you have no income, because 95 percent of your time is focused on research,” explains Liwing. “We were trying hard to raise capital over the last year. Our team did a fantastic job, but the financial market is too tough for us right now.”

Liwing remains certain that XNK’s research could be used for treating cancer. “I firmly believe in the technology and the power of NK cells. It would be great if we could make that technology work. What the field really needs now is to show clinical efficacy.” 

XNK was in the midst of a phase-2 clinical trial involving NK cells to treat multiple myeloma and was able to show that the technology was safe. The company had a contract with a global pharmaceutical company but needed more clinical data and was not able to complete that phase.

“We gave it a good shot, we tried to develop the NK-cell therapy,” says Liwing. “We did treat some patients, which I feel good about, and we made a difference to the patients that we treated.”

Biotechs are struggling

XNK’s struggles are typical of many biotechnology companies, Liwing says, “Most of the money goes toward research, finding investors is difficult, and it can take years before the company has anything to sell.”

“Biotech companies are struggling,” he adds. “They have to be very careful with costs, monitor how much money is being burnt, be cautious about investments, and potentially be willing to reduce the ambition levels. Financial markets go up and down. In the end there is only so much you can control.”

Last year, very few were willing to invest. Europe is still ice cold and Sweden is even colder. I really hope things turn around soon.

Biotech companies are constantly looking for venture capital, but potential financiers in Europe are limiting their investments at the moment, Liwing notes. “Markets need to take more risk,” he says. “Last year, very few were willing to invest. Europe is still ice cold and Sweden is even colder. I really hope things turn around soon.”

As for his own future, Liwing says he will take on the CEO role for ProsMedic AB, a company focused on cancer diagnostics using a new type of technology. “I’m really looking forward to this new challenge,” he says.