India-based global pharmaceutical company Lupin Limited (BSE: 500257) (NSE: LUPIN) announced on Tuesday the strategic spin-out of two oncology programmes, LNP7457 (PRMT5) and LNP8701 (SOS1), through its wholly owned subsidiary, Lupin Inc, into Kaveri Therapeutics Inc, a US-based clinical-stage oncology company.

Kaveri will advance these programmes through global clinical trials.

Under the terms of the agreement, Lupin Inc will have a significant equity stake in Kaveri, provide seed funding, and grant exclusive rights to the programmes. Kaveri will operate as an independent entity under the leadership of chief executive officer Kristi Jones and chief medical officer Dr. Robert Pierce.

Kaveri will seek to raise additional capital to fund its clinical development efforts.

Both programmes have demonstrated encouraging clinical progress, with LNP7457 (PRMT5) and LNP8701 (SOS1) each reporting positive data at the American Society of Clinical Oncology (ASCO) meeting in 2025 and 2026, respectively.