We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Pharma Stock Roundup: NVS, ABBV M&A Deals, FDA Nod to RHHBY, PFE Drugs
Read MoreHide Full Article
This week, Novartis (NVS - Free Report) and AbbVie (ABBV - Free Report) announced small M&A deals. The FDA approved the expanded use of Pfizer’s (PFE - Free Report) cancer drug Adcetris and a tablet formulation of Roche’s (RHHBY - Free Report) spinal muscular atrophy (SMA) drug, Evrysdi. Sanofi (SNY - Free Report) and J&J announced that a phase III study on their extraintestinal pathogenic E. coli vaccine candidate is being discontinued.
Here's a recap of the week’s most important stories.
Novartis to Acquire Anthos Therapeutics
Novartis announced a definitive agreement to acquire private biotech Anthos Therapeutics, which will strengthen its cardiovascular pipeline by adding abelacimab, the latter’s lead pipeline candidate in phase III development for the prevention of stroke and systemic embolism in patients with atrial fibrillation. The transaction is expected to be closed in the first half of 2025, subject to fulfillment of customary closing conditions.
Novartis, along with private firm Blackstone Life Sciences, launched Anthos Therapeutics in 2019. Anthos Therapeutics was developing abelacimab under a licensing deal with Novartis. For the recent deal, Novartis will make an upfront payment of $925 million to Anthos Therapeutics, with the latter also being entitled to receive up to approximately $2.15 billion in potential milestone payments.
AbbVie’s Cancer Deal With Xilio Therapeutics
AbbVie announced a collaboration and option agreement with cancer biotech Xilio Therapeutics to develop novel immunotherapies, including masked T-cell engagers, leveraging the latter’s proprietary tumor-activation technology. For the deal, AbbVie will make an upfront payment of $52.0 million to Xilio, which includes an equity investment of $10 million. In addition, Xilio will be entitled to receive up to approximately $2.1 billion in potential milestone payments plus tiered royalties.
FDA Approves Expanded Use of Pfizer’s Cancer Drug Adcetris
The FDA approved Pfizer’s cancer drug Adcetris for its eighth indication, a type of lymphoma. The FDA approval is for Adcetris in combination with lenalidomide and rituximab for the treatment of patients with relapsed/refractory diffuse large B-cell lymphoma, an aggressive form of non-Hodgkin lymphoma. The approval is based on data from the phase III ECHELON-3 study, which showed that the Adcetris regimen reduced the risk of death by 37% compared to lenalidomide and rituximab plus placebo. Adcetris was added to Pfizer’s portfolio with the December 2023 acquisition of Seagen.
SNY & JNJ-Partnered E. coli Vaccine Fails in Phase III Study
An interim analysis of a phase III study on Sanofi and J&J’s vaccine candidate for extraintestinal pathogenic E. coli, conducted by an independent data monitoring committee, revealed that the vaccine failed to demonstrate sufficient efficacy in preventing invasive E. coli disease. As a result, the study is being discontinued. The companies said that no safety signals have been identified in the study. Sanofi and J&J entered into a co-development deal for the vaccine in October 2023.
FDA Approves Tablet Version of Roche’s SMA Drug Evrysdi
The FDA granted approval to a tablet (5 mg) formulation of Roche’s SMA drug Evrysdi, which is currently available as an oral solution. The new tablet formulation should improve patient convenience by offering the same efficacy and safety as the oral solution. The tablet can be swallowed whole or dispersed in water.
PFE, NVS and ABBV have a Zacks Rank #3 (Hold) each, while Sanofi and RHHBY have a Zacks Rank #4 (Sell) each.
Image: Bigstock
Pharma Stock Roundup: NVS, ABBV M&A Deals, FDA Nod to RHHBY, PFE Drugs
This week, Novartis (NVS - Free Report) and AbbVie (ABBV - Free Report) announced small M&A deals. The FDA approved the expanded use of Pfizer’s (PFE - Free Report) cancer drug Adcetris and a tablet formulation of Roche’s (RHHBY - Free Report) spinal muscular atrophy (SMA) drug, Evrysdi. Sanofi (SNY - Free Report) and J&J announced that a phase III study on their extraintestinal pathogenic E. coli vaccine candidate is being discontinued.
Here's a recap of the week’s most important stories.
Novartis to Acquire Anthos Therapeutics
Novartis announced a definitive agreement to acquire private biotech Anthos Therapeutics, which will strengthen its cardiovascular pipeline by adding abelacimab, the latter’s lead pipeline candidate in phase III development for the prevention of stroke and systemic embolism in patients with atrial fibrillation. The transaction is expected to be closed in the first half of 2025, subject to fulfillment of customary closing conditions.
Novartis, along with private firm Blackstone Life Sciences, launched Anthos Therapeutics in 2019. Anthos Therapeutics was developing abelacimab under a licensing deal with Novartis. For the recent deal, Novartis will make an upfront payment of $925 million to Anthos Therapeutics, with the latter also being entitled to receive up to approximately $2.15 billion in potential milestone payments.
AbbVie’s Cancer Deal With Xilio Therapeutics
AbbVie announced a collaboration and option agreement with cancer biotech Xilio Therapeutics to develop novel immunotherapies, including masked T-cell engagers, leveraging the latter’s proprietary tumor-activation technology. For the deal, AbbVie will make an upfront payment of $52.0 million to Xilio, which includes an equity investment of $10 million. In addition, Xilio will be entitled to receive up to approximately $2.1 billion in potential milestone payments plus tiered royalties.
FDA Approves Expanded Use of Pfizer’s Cancer Drug Adcetris
The FDA approved Pfizer’s cancer drug Adcetris for its eighth indication, a type of lymphoma. The FDA approval is for Adcetris in combination with lenalidomide and rituximab for the treatment of patients with relapsed/refractory diffuse large B-cell lymphoma, an aggressive form of non-Hodgkin lymphoma. The approval is based on data from the phase III ECHELON-3 study, which showed that the Adcetris regimen reduced the risk of death by 37% compared to lenalidomide and rituximab plus placebo. Adcetris was added to Pfizer’s portfolio with the December 2023 acquisition of Seagen.
SNY & JNJ-Partnered E. coli Vaccine Fails in Phase III Study
An interim analysis of a phase III study on Sanofi and J&J’s vaccine candidate for extraintestinal pathogenic E. coli, conducted by an independent data monitoring committee, revealed that the vaccine failed to demonstrate sufficient efficacy in preventing invasive E. coli disease. As a result, the study is being discontinued. The companies said that no safety signals have been identified in the study. Sanofi and J&J entered into a co-development deal for the vaccine in October 2023.
FDA Approves Tablet Version of Roche’s SMA Drug Evrysdi
The FDA granted approval to a tablet (5 mg) formulation of Roche’s SMA drug Evrysdi, which is currently available as an oral solution. The new tablet formulation should improve patient convenience by offering the same efficacy and safety as the oral solution. The tablet can be swallowed whole or dispersed in water.
PFE, NVS and ABBV have a Zacks Rank #3 (Hold) each, while Sanofi and RHHBY have a Zacks Rank #4 (Sell) each.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The NYSE ARCA Pharmaceutical Index declined 0.7% in the past five trading sessions.
Large Cap Pharmaceuticals Industry 5YR % Return
Large Cap Pharmaceuticals Industry 5YR % Return
Here’s how the eight major stocks performed in the previous five trading sessions.
Image Source: Zacks Investment Research
In the last five trading sessions, Lilly rose the most (0.9%), while AbbVie declined the most (1.2%).
In the past six months, all the stocks were in the red except AbbVie, which was flat.
(See the last pharma stock roundup here: PFE, LLY, NVO, LLY and AZN’s Q4 Earnings Update)
What's Next in the Pharma World?
Watch this space for regular pipeline and regulatory updates next week.