Several large pharmaceutical companies announced on April 1 that they have completed significant acquisitions and received regulatory approvals for new therapies. Biogen, Eli Lilly, and Merck spent more than $20 billion combined in the past week to acquire biotechnology firms with approved products or promising drug candidates. Merck acquired Terns Pharmaceuticals for $6.7 billion, gaining access to a mid-stage leukemia drug. BioSpace had previously predicted this deal in December.
Eli Lilly and Biogen also made moves on Tuesday, acquiring Centessa Pharmaceuticals and Apellis Pharmaceuticals respectively. Other notable transactions include Novartis' agreement to purchase Excellergy for up to $2 billion and Gilead's acquisition of Ouro Medicines for $2.1 billion. Kevin Tang, the CEO of Aurinia Pharmaceuticals, has renewed his interest in Kezar Life Sciences by offering $50 million for the company.
The announcement comes as rare disease drug developers saw progress this week with three new therapies approved by the U.S. Food and Drug Administration (FDA). Denali Therapeutics' Avlayah became the first treatment targeting neurological complications of Hunter syndrome, while Rocket Pharmaceuticals received approval for Kresladi to treat leukocyte adhesion deficiency-I. Biogen also secured approval for a high-dose formulation of its spinal muscular atrophy drug Spinraza and reported positive Phase 2 results for litifilimab in cutaneous lupus erythematosus.
In other developments within the sector, Wave Life Sciences experienced a sharp decline in stock value after its obesity candidate WVE-007 did not meet investor expectations during a Phase 1 trial. Meanwhile, attention is focused on an upcoming FDA decision regarding Eli Lilly’s oral obesity medication orforglipron, expected by April 10.
Industry observers are also following trends such as delayed pharmaceutical launches in Europe and how artificial intelligence is influencing biotech initial public offerings.
