Innovations Advanced by M&A

In the case of Ignyta’s acquisition by Roche, M&A played a pivotal role in accelerating a new precision therapy to patients battling rare forms of cancer.

Founded in 2011 by Drs. David Lim and Gary Firestein, Ignyta initially focused on developing diagnostics for rheumatoid arthritis. However, after facing early scientific setbacks, the company pivoted its focus to advancing entrectinib, a promising investigational therapy for certain types of cancer caused by rare genetic mutations, along with developing diagnostic tests to help identify these mutations.

For many small and early-stage life science companies, making the leap from research and development (R&D) to manufacturing and distribution of a new treatment can be an insurmountable barrier. Pfizer’s acquisition of Biohaven Pharmaceuticals, for example, accelerated the global distribution of two new migraine therapies, while also allowing the early-stage company to continue pursuing new scientific breakthroughs.  

Mergers and acquisitions (M&A) are a vital mechanism for transitioning treatments currently in development to approved medicines available to the patients who need them the most. In one such example, the synergies from a life science acquisition brought a revolutionary therapy for hypertrophic cardiomyopathy (HCM) to patients.

By combining complementary resources and expertise among companies of all sizes – while driving investment across the ecosystem – M&A helps advance innovative new treatments and cures to patients. This was precisely the case for Retevmo and Jaypirica, two first-of-their-kind oncology treatments brought to market through the acquisition of Loxo Oncology by Eli Lilly & Co.

In one of many examples from across the United States’ vibrant life sciences ecosystem, the merger between Alexion Pharmaceuticals and AstraZeneca helped accelerate the development and global distribution of transformative treatments for paroxysmal nocturnal hemoglobinuria (PNH) – a rare and life-threatening blood disease.