Learn how top pharmaceutical companies are strategically expanding their portfolios through significant Mergers & Acquisitions activities for 2024.
Although mergers and acquisitions (M&A) activity has not seen a mega-deal thus far in 2024, several large-scale acquisitions have been notable. Among the companies making key moves are Novo Nordisk, Bristol-Myers Squibb, Merck & Co., AbbVie, Vertex Pharmaceuticals, Gilead Sciences, and Roche. Below is a roundup of the top M&A announced or completed so far in 2024.
Novo Nordisk’s $16.5 Billion Acquisition of Catalent
In the largest acquisition of 2024, Novo Holdings, the parent company of Novo Nordisk, announced plans to acquire CDMO Catalent for $16.5 billion. The acquisition, expected to close later this year, aims to expand Novo Nordisk’s manufacturing capacity for its blockbuster GLP-1 agonists for treating Type 2 diabetes and obesity. The deal includes three fill–finish sites in Anagni, Italy; Bloomington, Indiana; and Brussels, Belgium. Post-acquisition, Novo Holdings plans to sell these sites to Novo Nordisk for $11 billion. This move is anticipated to gradually increase Novo Nordisk’s filling capacity from 2026 onwards.
Bristol-Myers Squibb’s $14 Billion Acquisition of Karuna Therapeutics
The largest direct bio/pharma company deal of 2024 saw Bristol-Myers Squibb (BMS) acquiring Karuna Therapeutics for $14 billion. Announced in December 2023 and completed in March 2024, this acquisition bolsters BMS’s portfolio with KarXT (xanomeline-trospium), an antipsychotic drug under FDA review for treating schizophrenia. The acquisition also included Karuna’s early-stage and preclinical assets.
Merck & Co.’s $10.8 Billion Acquisition of Prometheus Biosciences
Merck & Co. completed its $10.8 billion acquisition of Prometheus Biosciences in June 2024. Prometheus focuses on precision medicines for immune-mediated diseases. Its lead drug candidate, MK-7240, targets TNF-like ligand 1A for conditions such as ulcerative colitis and Crohn’s disease. The acquisition also includes Prometheus360, a precision medicine platform.
AbbVie’s $10.1 Billion Acquisition of ImmunoGen
AbbVie’s $10.1 billion acquisition of ImmunoGen, completed in June 2024, highlights the ongoing interest in oncology assets, particularly antibody drug conjugates (ADCs). ImmunoGen’s Elahere (mirvetuximab soravtansine-gynx), an ADC for treating platinum-resistant ovarian cancer, and a promising pipeline of other ADCs, including IMGN-151 and pivekimab sunirine, were key attractions.
AbbVie’s $8.7 Billion Acquisition of Cerevel Therapeutics
AbbVie’s recent $8.7 billion acquisition of Cerevel Therapeutics, completed in August 2024, aims to strengthen its position in neuroscience-based drugs. Cerevel’s pipeline includes emraclidine for schizophrenia, tavapadon for Parkinson’s disease, and CVL-354 for major depressive disorder, among others.
BMS’s $5.8 Billion Acquisition of Mirati Therapeutics
In January 2024, BMS completed its $5.8 billion acquisition of Mirati Therapeutics, adding the commercial lung-cancer drug Krazati (adagrasib) and several clinical assets to its oncology portfolio.
Vertex Pharmaceuticals’ $4.9 Billion Acquisition of Alpine Immune Sciences
Vertex Pharmaceuticals acquired Alpine Immune Sciences for $4.9 billion. Alpine’s lead molecule, povetacicept (ALPN-303), is in Phase II development for treating IgA nephropathy, with plans to enter Phase III clinical development in late 2024.
Gilead Sciences’ $4.3 Billion Acquisition of CymaBay Therapeutics
Gilead Sciences completed its $4.3 billion acquisition of CymaBay Therapeutics in March 2024. CymaBay’s lead candidate, seladelpar, an oral drug for treating primary biliary cholangitis, is under priority review by the FDA with a target action date in August 2024.
BMS’s $4.1 Billion Acquisition of Rayzebio
BMS acquired Rayzebio for $4.1 billion in February 2024. Rayzebio’s lead program, RYZ101, is in Phase III development for treating somatostatin receptor-positive neuroendocrine tumors. The acquisition also includes a manufacturing facility in Indianapolis.
Roche’s $3.1 Billion Acquisition of Carmot Therapeutics
In January 2024, Roche completed its $3.1 billion acquisition of Carmot Therapeutics, adding three clinical-stage assets for treating obesity and diabetes to its portfolio.
Other Key Deals
- Novartis acquired MorphoSys for EUR 2.7 billion ($2.9 billion), gaining a pipeline of antibody-based drugs.
- AstraZeneca acquired Fusion Pharmaceuticals for $2.4 billion, focusing on radioconjugates for cancer treatment.
- AstraZeneca also acquired Amolyt Pharma for $1 billion, adding a Phase III candidate for treating hypoparathyroidism.
- Johnson & Johnson acquired Ambrx Biopharma for $2 billion, expanding its oncology and ADC portfolio.
- Ono Pharmaceutical acquired Deciphera Pharmaceuticals for $2.4 billion, adding oncology assets, including Qinlock for gastrointestinal stromal tumors.
These acquisitions highlight the dynamic nature of the bio/pharma industry in 2024, with companies expanding their portfolios through strategic M&A to enhance their capabilities and market reach.
Pharmaceutical Companies
Pharmaceutical Companies
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