Kazia Therapeutics Releases New Data on Paxalisib for Breast Cancer
Kazia Therapeutics announced new data from two presentations at the 2025 San Antonio Breast Cancer Symposium, or SABCS, providing compelling mechanistic and early clinical evidence supporting the activity of paxalisib, the Company's brain-penetrant dual PI3K/mTOR inhibitor, across both HER2-positive metastatic breast cancer and triple-negative breast cancer, or TNBC. The results, originating from advanced liquid biopsy profiling, immune phenotyping, and early clinical readouts, highlight paxalisib's potential to disrupt highly aggressive circulating tumor cell, or CTC, clusters, reverse epigenetically-driven resistance pathways, and reinvigorate exhausted T- and B-cell populations, thereby enhancing responsiveness to immunotherapy. In HER2-positive metastatic breast cancer, a population in which nearly all patients eventually relapse despite HER2-directed therapies, investigators observed that even patients who were radiographically responding continued to harbor substantial burdens of therapy-resistant CTC clusters-a key driver of metastatic spread. Poster Presentation: PS2-10-02 : Liquid Biopsy Tracking of PI3K-mTOR Residual Disease Signatures in Metastatic HER2+ Breast Cancer. Key findings include: Paxalisib reduced single CTCs by 42% and CTC clusters by 78% ex vivo, including large clusters, which are strongly associated with metastatic progression, CTC clusters expressed a highly aggressive mesenchymal phenotype marked by Vimentin/Snail/NRF2, which paxalisib significantly disrupted. Early longitudinal biomarker data from the first patient treated in the PaxPlus-ABC Phase 1b study indicate that paxalisib has had measurable biological activity after only a single cycle. Poster Presentation: PS5-08-04: A phase 1b, multi-centre, open-label, randomized study to evaluate the safety, tolerability, and clinical activity of combining paxalisib with olaparib or pembrolizumab/chemotherapy in patients with advanced breast cancer. Highlights from first patient include: Marked reduction in CTC clusters following the first cycle of paxalisib; Epigenetic reprogramming of CTCs toward less aggressive phenotypes, confirmed through digital pathology and Nanostring profiling. CT imaging has demonstrated overall primary tumor volume reduction from baseline 14mm x 11mm to 12mm x 3 mm. Notably, a temporary interruption of paxalisib resulted in a rapid resurgence of CTC clusters. Resumption of paxalisib after a short 3-week pause restored suppression of CTC clusters, indicating that pembrolizumab alone could not control these metastatic drivers and highlighting paxalisib's unique mechanistic role.
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- FDA Meeting Approval: Kezar Life Sciences has received approval from the FDA Division of Hepatology and Nutrition to hold a Type C meeting in Q1, aimed at discussing the development of zetomipzomib for autoimmune hepatitis patients, marking a significant advancement in the company's drug development efforts.
- Clinical Study Plan: The meeting will review a potential global randomized Phase 2b clinical study for patients with relapsed and refractory autoimmune hepatitis, and if approved, it will provide a clear clinical pathway for this new therapy.
- Safety Data Analysis: CEO Chris Kirk stated that additional safety and pharmacokinetic data analysis conducted in response to FDA feedback further supports confidence in zetomipzomib's potential to change the treatment landscape, highlighting the company's commitment to the drug's potential.
- Market Reaction: In pre-market trading on NasdaqCM, Kezar Life Sciences shares fell 2.3% to $6.35, reflecting market caution regarding the progress of the new drug development.

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Regulatory Challenges: Kezar Life Sciences is facing difficulties in aligning with the FDA regarding a clinical trial for zetomipzomib aimed at treating autoimmune hepatitis, leading to the cancellation of a scheduled Type C meeting and a requirement for additional studies that could delay future trials by approximately two years.
Strategic Review and Restructuring: The company has initiated a strategic review process with the help of TD Cowen and plans to implement a restructuring plan that includes workforce reductions and cost-containment measures, while also experiencing a significant increase in stock price despite recent challenges.

Kezar Life Sciences Upgrade: Kezar Life Sciences, Inc. (KZR) has received a Zacks Rank #2 (Buy) upgrade, indicating a positive outlook on its earnings estimates, which could lead to favorable stock price movements.
Importance of Earnings Estimates: The Zacks rating system emphasizes the correlation between earnings estimate revisions and stock price trends, suggesting that tracking these revisions can be beneficial for investors seeking to make informed decisions.
FDA Lifts Clinical Hold: The FDA has lifted the partial clinical hold on Kezar Life Sciences' zetomipzomib for autoimmune hepatitis after a safety assessment, allowing the continuation of its Phase 2a trial.
Focus Shift and Future Plans: Kezar has paused development of zetomipzomib for lupus nephritis to concentrate on AIH, while planning to request the FDA to lift the clinical hold for lupus nephritis based on feedback from an Independent Data Monitoring Committee.

FDA Update: Kezar Life Sciences has had the partial clinical hold lifted on its PORTOLA Phase 2a trial for zetomipzomib, a treatment for autoimmune hepatitis (AIH).
Focus Shift: The company has ceased development of zetomipzomib for lupus nephritis and is now concentrating solely on AIH, following a review of safety data from a previous trial.







