On a call with investors, Gilead CEO Daniel O’Day called the drug “a pipeline in a product,” thanks to the potential to expand its use to other cancers and to combine it with other oncology drugs. For Gilead, the deal accelerates a years-long plan to become competitive in the oncology drug market. The firm took the first step in 2017 when it paid nearly $12 billion for cell therapy–focused Kite Pharma, a deal that catapulted it into the blood cancer arena. A year later, O’Day, a Roche executive with deep experience in marketing cancer drugs, was brought in to build a broader portfolio of oncology products. In the past two years, the biotech firm has secured 12 oncology deals, O’Day noted on the call. Many of them—notably its recent $4.9 billion acquisition of Forty Seven—expanded Gilead’s pipeline of blood cancer drugs.
by Lisa M. Jarvis |
September 15, 2020