Looking to boost its portfolio of treatments for neuromuscular and rare disease, Biogen has agreed to acquire Texas-based Reata Pharmaceuticals in a deal worth approximately $7.3 billion.
The news comes just days after Biogen said will cut about 11% of its workforce as part of a cost-cutting program geared towards optimizing new product launches.
Biogen's arsenal of rare disease drugs already includes Spinraza, approved in 2016 for spinal muscular atrophy and newly approved
With the acquisition, Biogen will pick up Reata's rare disease drug, branded Skyclarys, which was approved in March for the treatment of Friedreich’s ataxia in adults and adolescents. Skyclarys is Reata's first approved drug and also the first approved therapy specifically indicated for the treatment of Friedrich’s ataxia.
Reata believes that Biogen has the foundation in place to get Skyclarys to patients. “Biogen’s expertise and commercial footprint make it the optimal choice to help Skyclarys realize its full potential,” said Warren Huff, chairman and CEO of Reata.
The companies expect the deal to close in the fourth quarter of 2023.