Freeline Therapeutics and Kriya are taking divergent paths to success amid market doldrums, as the former divests and pulls back on investment, while the latter bulks up its pipeline through an acquisition.

Industry investors foresee continued hardship for public companies still without compelling clinical data for their assets, plus the growing influence of the US Inflation Reduction Act on biopharma strategy.

Many gene therapies companies have faced R&D and financial problems this year but the longer term potential of the field and low prices might tempt big pharma into deals.

The Israeli firm’s gene therapy asset has disappointed in an advanced ovarian cancer study, leaving experts skeptical of its potential in other tumors and the company turning to an earlier program.