Clinical Trials / Small Molecule

Gilead inks $5B deal with Galapagos to bolster pipeline of anti-inflammatories

Jul 15, 2019

Gilead Sciences has struck a major expansion deal with a European biotech firm to target the high-growth anti-inflammatories market. 

The companies announced this week that Gilead will invest $5.1 billion into its ongoing partnership with Galapagos NV, a Belgo-Dutch company that specializes in research and development of small molecule medicines. As part of the agreement, the companies will embark on a 10-year collaboration that will allow Gilead to leverage Galapagos’ team of more than 500 scientists and drug discovery platform to develop a portfolio that includes six molecules currently in clinical trials. 

Gilead’s upfront payment of $3.95 billion will allow Galapagos to expand its R&D capabilities. Galapagos will also receive a $1.1 billion equity investment from Gilead.

The companies have already buddied up to develop filgotinib, a compound being tested as a treatment for rheumatoid arthritis and inflammatory bowel disease that Gilead plans to seek approval for later this year. 

Read the full Reuters report.

Don't miss your Daily Dose. Sign up to get news like this delivered right to your inbox.