Talawar Therapeutics Goes Public via SPAC with $285M to Advance Dual-Pathway Atopic Dermatitis Bispecific

Talawar Therapeutics announced today a definitive business combination agreement with JATT II Acquisition Corp (Nasdaq: JATT) that will take the company public on the Nasdaq Capital Market under the ticker "TLWR," backed by $285 million in anticipated gross proceeds to advance its lead bispecific antibodies program in atopic dermatitis.¹

The transaction includes a $225 million PIPE — described as oversubscribed — priced at $10.00 per share, led by founding investor Access Biotechnology and joined by Bain Capital Life Sciences, Deep Track Capital, RA Capital Management, Janus Henderson Investors, Vianti Capital, and Farallon Capital Management. Combined with $60 million held in JATT II's trust account (assuming no redemptions), the combined company is expected to have sufficient runway to fund its lead asset, TALA-125, through a Phase 2b proof-of-concept data readout in the second half of 2028. The business combination is expected to close in the second half of 2026, subject to JATT II shareholder approval and customary regulatory conditions.¹

"TALA-125 is purpose-built to shatter the current monotherapy efficacy plateau by combining two clinically validated, complementary mechanisms in a single bispecific molecule."
— Marc Schegerin, MD, MBA, CEO, Talawar Therapeutics

A bispecific built on orthogonal biology

Talawar's lead program, TALA-125, is an anti-IL-13 × anti-IL-18 bispecific antibody in development for atopic dermatitis. The molecule is designed to simultaneously block two clinically validated but largely independent inflammatory pathways — IL-13, the central cytokine driving type 2 skin inflammation,² and IL-18, an upstream alarmin implicated in both type 2 and non-type 2 immune activation³^,⁴ — in a single therapeutic agent.

The rationale behind the dual-target approach is that existing approved biologics, primarily IL-4Rα and IL-13 inhibitors such as dupilumab and tralokinumab, leave a meaningful proportion of patients without adequate response.⁵ Talawar's thesis is that co-inhibiting orthogonal pathways through a single bispecific can produce broader and more durable suppression of disease activity than either mechanism alone — a strategy that is gaining validation across the emerging AD pipeline.⁶

"Atopic dermatitis remains one of the largest therapeutic markets in I&I, yet a persistent efficacy ceiling leaves a majority of patients unable to achieve meaningful clinical responses on current standard-of-care treatments," said Marc Schegerin, MD, MBA, Chief Executive Officer of Talawar. "TALA-125 is purpose-built to shatter the current monotherapy efficacy plateau by combining two clinically validated, complementary mechanisms in a single bispecific molecule."¹

TALA-125 is expected to enter Phase 1 clinical trials in Q1 2027, with interim Phase 1 data anticipated in Q4 2027. A Phase 1 ClinicalTrials.gov registration is anticipated ahead of study initiation.

Pipeline and origins

Talawar is the first company formed to develop and commercialize assets discovered by Khanda Therapeutics, a US-based biotech company builder focused on translating biological insights into precision therapeutic combinations. Beyond TALA-125, Talawar is advancing two additional discovery-stage programs — TALA-307 and TALA-711 — in undisclosed immunology indications.¹

The company's leadership team includes CEO Marc Schegerin, who previously served as COO and CFO at Morphic Therapeutic, and Chief Medical Officer Fabio Nunes, MD, MMSc, a former Vice President of Dermatology and Respiratory Clinical Development at Johnson & Johnson. Praveen Tipirneni, MD, former CEO of Morphic Therapeutic and Caldera Therapeutics, has joined the Talawar board of directors.¹

Competitive context

The atopic dermatitis biologic market is already crowded, anchored by Dupixent (dupilumab; Sanofi/Regeneron), which targets both IL-4Rα and IL-13, and Eli Lilly's Ebglyss (lebrikizumab), an IL-13-selective monoclonal antibody.⁷ JAK inhibitors including AbbVie's Rinvoq (upadacitinib) and Pfizer's Cibinqo (abrocitinib) offer additional oral options. Notably, AbbVie's $10.9 billion acquisition of Apogee Therapeutics — centered on zumilokibart, a half-life-extended IL-13 monoclonal antibody — underscores the premium being placed on next-generation cytokine-targeting biologics in this space.⁸ Schegerin cited the deal directly: "From our perspective, it confirms enormous value is being placed on differentiated, next-generation biologics in atopic dermatitis, and that there is room for multiple winners in this market."

TALA-125's differentiation will hinge on whether dual IL-13 and IL-18 blockade can demonstrate a clinically meaningful efficacy advantage over these established standards — a question the phase 2b readout in 2028 is designed to answer.

References

1. Talawar Therapeutics and JATT II Acquisition Corp. Announce Definitive Business Combination Agreement to Create Publicly Listed Biotechnology Company Developing Potentially Best-in-Class Bispecifics for I&I Diseases. (2026 June 29). PR Newswire. https://www.prnewswire.com/news-releases/talawar-therapeutics-and-jatt-ii-acquisition-corp-announce-definitive-business-combination-agreement-to-create-publicly-listed-biotechnology-company-developing-potentially-best-in-class-bispecifics-for-ii-diseases-302812610.html
2. Napolitano M, di Vico F, Ruggiero A, Fabbrocini G, Patruno C. (2023 Apr 18). The hidden sentinel of the skin: an overview on the role of interleukin-13 in atopic dermatitis. Front Med. https://pubmed.ncbi.nlm.nih.gov/37144036/
3. Rusiñol L, Puig L. (2024 Aug 4). A narrative review of the IL-18 and IL-37 implications in the pathogenesis of atopic dermatitis and psoriasis: prospective treatment targets. Int J Mol Sci. https://www.mdpi.com/1422-0067/25/15/8437
4. Bähler, L., Schärli, S., Luther, F., Bertschi, N. L., Skabytska, Y., Roediger, B., & Schlapbach, C. (2025 Aug 7). IL-18 in atopic dermatitis-a multifaceted driver of skin inflammation. J Allergy Clin Immunol. https://pubmed.ncbi.nlm.nih.gov/40783003/
5. Drucker AM, Ellis AG, Bohdanowicz M, et al. (2020 Jun 20). Systemic immunomodulatory treatments for patients with atopic dermatitis: a systematic review and network meta-analysis. JAMA Dermatol. https://pubmed.ncbi.nlm.nih.gov/32320001/
6. Amid-Toby G, Alani O, Bunick CG. (2026 Apr 14). Bispecific and trispecific antibodies in atopic dermatitis: a review of the emerging clinical pipeline. Front Drug Discov. https://www.frontiersin.org/journals/drug-discovery/articles/10.3389/fddsv.2026.1766021/full
7. Simpson EL, Bieber T, Guttman-Yassky E, et al. (20216 Dec 15). Two phase 3 trials of dupilumab versus placebo in atopic dermatitis. N Engl J Med. https://www.nejm.org/doi/full/10.1056/NEJMoa1610020
8. AbbVie to Acquire Apogee Therapeutics, Deepening Immunology Portfolio. (2026 Jun 22). AbbVie Inc. https://news.abbvie.com/2026-06-22-AbbVie-to-Acquire-Apogee-Therapeutics,-Deepening-Immunology-Portfolio