Roche will get the rights to manufacture and commercialise a ‘promising’ new treatment for inflammatory bowel disease under this new deal.
Pharma giant Roche has entered a definitive agreement to acquire Telavant Holdings to expand its portfolio of disease treatments.
Under the deal, Roche will pay $7.1bn upfront and a near-term “milestone payment” of $150m. The acquisition will also give Roche the rights to develop, manufacture and commercialise a new treatment in the US and Japan, which is being made by Telavant Holdings.
Telavant is a company that is jointly owned by Roivant and Pfizer, which is developing a treatment for inflammatory bowel disease called RVT-3101. Roivant described the therapy as “promising” and said it may prove useful for other diseases.
Roivant CEO Matt Gline said it has been a “privilege” to work on this drug and said Roche will build on these efforts to “maximise patient impact”.
“This is one of many examples of Roivant furthering its mission to accelerate the development and commercialization of medicines that matter while delivering value to patients and shareholders alike,” Gline said. “We would like to thank Pfizer for their partnership in enabling creative collaborations for the benefit of patients, and for their ongoing support.”
The antibody is designed to inhibit TL1A, which is a small protein that appears to be linked to various autoimmune diseases such as rheumatoid arthritis, inflammatory bowel disease and psoriasis.
“We strongly believe this novel TL1A directed antibody has the transformational potential to make a significant difference for patients living with inflammatory bowel disease and potentially other diseases,” said Roche Group CEO Thomas Schinecker. “We are excited to add this promising new therapy in development to our portfolio and to make it available to patients as quickly as possible.”
As part of the deal, Roche will also obtain an option to enter a global collaboration with Pfizer on a separate TL1A antibody, which is currently in early phase trials.
Towards the end of 2021, Pharmaceutical giant Novartis sold $20.7bn worth of bearer shares back to Roche after investing in the rival company for more than two decades.
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