New York-based Lexeo Therapeutics (Nasdaq: LXEO) has agreed to acquire Mantle Therapeutics, a private clinical-stage company developing oral and biologic therapies for Friedreich ataxia (FA), for total potential consideration of USD 21.3 million. The US deal adds four frataxin-targeting programs to Lexeo's existing AAV gene therapy pipeline, extending the company's reach into central nervous system (CNS) manifestations of FA beyond its lead cardiac program.
Under the terms, Lexeo will pay Mantle shareholders USD 8.3 million upfront in a combination of cash and equity, with up to USD 13.0 million in success-based milestone payments contingent on future clinical and regulatory achievements. The transaction is expected to close in Q3 2026.
The acquired portfolio spans four modalities at varying stages. LX3010 (MTL-104), an oral HDAC inhibitor and Nrf2 activator designed to increase frataxin expression while addressing mitochondrial dysfunction and oxidative stress, has early clinical data in 11 FA patients showing an approximately six-point improvement in modified Friedreich Ataxia Rating Scale (mFARS) scores at 16 weeks and a mean nine-fold increase in frataxin protein levels in muscle biopsies. LX3030 (MTL-707) is a preclinical third-generation benzamide HDAC inhibitor; LX3050 (MTL-501) is a preclinical recombinant human frataxin fused to an anti-transferrin receptor 1 (TfR1) Fab brain shuttle intended to cross the blood-brain barrier; and LX3070 (MTL-801) is a discovery-stage antisense oligonucleotide (ASO) Fab conjugate designed to stabilize FXN mRNA. Lexeo said a program prioritization update is expected in early 2027, with an investigational new drug (IND) submission for its next FA candidate planned for the same year.
Alongside the acquisition, Lexeo announced three research collaborations focused on cerebellar-targeted sequential dosing of LX2006, its AAV frataxin gene therapy currently enrolling in the SUNRISE-FA 2 pivotal study with topline data expected in the second half of 2027. These include a sponsored research agreement with Weill Cornell Medicine for intra-cisternal LX2006 administration in large animal models, an option agreement with Vivet Therapeutics for VTX-PID, an IgG-degrading enzyme to support repeat AAV dosing, and an option agreement with Apertura Gene Therapy for a novel blood-brain barrier-crossing intravenous capsid.