Bristol Myers to Acquire RayzeBio in a $4.1 Bn Deal

This acquisition seeks to establish Bristol’s presence in one of the most promising and fastest-growing new modalities for the treatment of patients with solid tumours, delivering radioactive payloads to cancer cells in a targeted manner.

Global pharma major, Bristol Myers Squibb has entered into a deal to acquire RayzeBio for a total value of $4.1 billion at $62.50 per share. This move aligns with the pharma giant’s objective to broaden its spectrum of cancer treatment offerings.

RayzeBio, a clinical-stage radiopharmaceutical therapeutics (RPT) company, has several cancer treatments under development, specifically, ones targeting the treatment of solid tumours, including gastroenteropancreatic neuroendocrine tumours (GEP-NETs), small cell lung cancer, hepatocellular carcinoma and other cancers.

Additionally, Bristol will acquire RayzeBio’s new manufacturing facility in Indianapolis, which is under construction but is expected to begin GMP drug production in the first half of 2024.

This acquisition seeks to establish Bristol’s presence in one of the most promising and fastest-growing new modalities for the treatment of patients with solid tumours, delivering radioactive payloads to cancer cells in a targeted manner.

On the deal, Christopher Boerner, CEO, Bristol Myers Squibb, said, “This transaction enhances our increasingly diversified oncology portfolio by bringing a differentiated platform and pipeline, and further strengthens our growth opportunities in the back half of the decade and beyond.’

Boaerner emphasised that radiopharmaceutical therapeutics are already transforming cancer care. Further, he aims to advance RayzeBio’s preclinical and clinical programs and enhance its highly advanced radiopharmaceutical platform.

Established in 2018 by Aron Knickerbocker and Deborah Charych, RayzeBio is a clinical-stage radiopharmaceutical therapeutics that focuses on improving outcomes for people with cancer by harnessing the power of targeted radioisotopes.

Expressing his thoughts, Ken Song, CEO and president, RayzeBio said “Despite therapeutic advances in recent years, the need for more effective treatments in solid tumours persists, and radiopharmaceutical therapeutics are positioned to be an important next wave of innovation in oncology therapy.”

Founded in 1887 by two former fraternity brothers, William McLaren Bristol and John Ripley Myers, Bristol Myers Squibb (BMS) is a global biopharmaceutical company that discovers, develops, and delivers novel medicines that help patients prevail over serious diseases.

Days back, Bristol Myers agreed to pay $800 Mn to Chinese drugmaker Sichuan Biokin Pharma to develop and commercialise one of its cancer treatment drugs. As per the partnership, SystImmune, the US-based unit of Sichuan Biokin, is solely responsible for the development and commercialisation of the drug in mainland China, while Bristol Myers has those responsibilities for areas outside the country.