This blog is another installment in a series, Innovations Advanced by M&A, that underscores the unique role of mergers and acquisitions in promoting a competitive and innovation life sciences ecosystem for patients. You can find previous blogs in this series here.
Bringing a new treatment or cure from the lab to the patient is a complex and resource-intensive process that many early-stage life sciences companies are unable to complete alone. Mergers and acquisitions (M&A) serve as a critical bridge that connects companies to the resources, funding and expertise needed to turn promising discoveries into approved medicines for patients.
One example is the 2020 acquisition of Momenta Pharmaceuticals by Johnson & Johnson (J&J). This acquisition was critical to advancing IMAAVY (nipocalimab), a first-in-class therapy for generalized myasthenia gravis (gMG). gMG is a rare and debilitating autoimmune disease that affects an estimated 37 out of every 100,000 people in the U.S. and causes muscle weakness that can severely impact mobility, vision, speech and even the ability to breathe. gMG disproportionately affects people of African descent and often emerges in childhood, requiring lifelong care.
Momenta was founded in 2001 in the labs of the Massachusetts Institute of Technology with the goal of developing new biologic therapies for rare autoantibody-driven diseases like gMG. However, Momenta was small and required a partner to bring these promising innovations to patients at scale.
“The Momenta team has made excellent progress in developing its medicines for rare diseases, and we look forward to combining our expertise and resources with theirs to increase that scope.” – Jennifer Taubert, Executive Vice President, Worldwide Chairman, Pharmaceuticals, Johnson & Johnson
The acquisition allowed Momenta to combine their pioneering science in autoantibody-driven diseases with J&J’s global scale, regulatory expertise and infrastructure to help medicines reach patients more quickly and effectively. This April, IMAAVY received FDA approval for gMG, and J&J has continued to invest in clinical trials to explore its use in other rare immunological diseases — providing new hope for patients with otherwise limited treatment options.
“I believe J&J is the right company to advance our portfolio of novel drug candidates for autoimmune and rare diseases. J&J’s leadership in immunology, extensive capabilities, and global reach, as well as its alignment with our vision of pioneering therapies for complex diseases is a strong fit for our company and our portfolio.” – Craig Wheeler, President and CEO, Momenta
This example underscores the critical role of M&A in allowing life sciences companies to combine complementary capabilities, scale innovation and bring groundbreaking therapies to patients in need. In order to sustain America’s global leadership in bringing new treatments and cures to patients, it is vital that policymakers must recognize and support the unique and fundamental role of these pro-competitive partnerships.