Jasper Therapeutics merges with Kira in $132M biotech deal

Jasper Therapeutics Inc. completed its all-stock acquisition of Kira Pharmaceuticals and raised $132 million in a concurrent private placement, creating a combined company with three clinical-stage immunology assets and cash runway through the second half of 2028.

"The quality of their science and the deep expertise of their team" drove the decision to merge, Jeet Mahal, president and chief executive officer of Jasper, said in a statement. The combined entity will focus on advancing KP-104, a dual-complement inhibitor for paroxysmal nocturnal hemoglobinuria and renal disorders, alongside briquilimab, an anti-KIT antibody for severe combined immunodeficiency, and KP-701, a preclinical B-cell receptor targeted therapy.

The private placement was co-led by Affinity Asset Advisors and Ikarian Capital, with participation from Columbia Threadneedle Investments, Sirenia Capital Management, Balyasny Asset Management, and Mirador Therapeutics, among others. Pro-forma cash is expected to fund operations through multiple clinical milestones, including KP-104 Phase 2 interim data in the fourth quarter of 2026 and an end-of-Phase 2 meeting with the FDA for PNH in the first half of 2027.

The deal structure gives pre-merger Jasper equity holders about 6.68% of the combined company's common stock, Kira holders about 49.86%, and PIPE investors about 43.46%, on a fully diluted as-converted basis. Existing Jasper shareholders also received a contingent value right worth $30 million tied to a priority review voucher for briquilimab by December 2028. Kira out-licensed two earlier-stage assets — KP-301 and KP-402 — to Mirador Therapeutics for $12 million upfront plus development and sales milestones, allowing the combined company to concentrate resources on its lead programs.

KP-104 Leads the Pipeline

KP-104, also known as Vensobafusp alfa, is a bifunctional biologic that targets both the alternative and terminal complement pathways simultaneously, a dual mechanism that differentiates it from single-pathway inhibitors such as Alexion's Soliris and Ultomiris. The drug is Phase 2/3 ready and has already generated positive data in treatment-naive PNH patients. The combined company plans to report interim data from Stage 1 of a Phase 2 basket trial in rare renal indications in the fourth quarter of 2026, with updated data in the second quarter of 2027. A new indication for KP-104 will be announced by the end of this year.

Briquilimab, a late-stage anti-KIT antibody, is advancing toward a pre-BLA meeting with the FDA for SCID in the first quarter of 2027. The drug blocks stem cell factor from binding to the KIT receptor, inhibiting survival signals for mast cells and hematopoietic stem cells. The company is also evaluating the mast-cell mediated disease landscape and plans to provide an update on clinical development in the second half of 2026.

KP-701, a novel dual-acting anti-CD79BxCD32B monoclonal antibody for autoantibody-mediated disorders, is expected to enter Phase 1 testing in the first quarter of 2027, with first-in-human data anticipated in the third quarter.

Cash Runway and Investor Implications

The combined company holds enough capital to reach key value-inflection points without near-term dilution risk, a critical factor for biotech investors evaluating early-stage pipelines. Jasper shares trade on Nasdaq under the ticker JSPR. The company did not disclose post-merger cash balance but said the $132 million private placement, combined with existing cash and the $12 million upfront from the Mirador out-licensing, funds operations through the second half of 2028.

This article is for informational purposes only and does not constitute investment advice.