BMY.US and Bain Capital Establish New Biopharmaceutical Company to Develop Therapies for Autoimmune Diseases
CNS Finance APP has learned that BMY.US (Bristol Myers Squibb) and Bain Capital have jointly announced the establishment of a new, independent biopharmaceutical company focused on developing therapies for autoimmune diseases.
The new company will initially possess five immunology assets acquired from Bristol Myers Squibb and has secured a commitment of $3 billion in funding, primarily from Bain Capital.
The company's pipeline includes three clinical-stage drugs and two early-stage drugs, all targeting mechanisms of action for autoimmune diseases.
Among its core assets, afimetoran is an oral drug currently in the mid-stage clinical trial for systemic lupus erythematosus; BMS-986322 has shown positive results in the mid-stage trial for psoriasis.
According to the cooperation agreement, Bristol Myers Squibb will hold a nearly 20% stake in the new company and will receive milestone payments and royalties based on the development progress and commercialization success of these assets.
In addition, the Canada Pension Plan Investment Board has also participated in this investment.
Last week, Bristol Myers Squibb's chief medical officer resigned after six years with the company, stating that Samit Hirawat, responsible for developing new medicines at the company, will leave on August 1 and continue as a consultant until November. This news came unexpectedly, as the company is eager to find its next best-selling product to turn around declining performance.
Bristol Myers Squibb is pinning hopes on a series of new drugs to offset declining sales of its old best-sellers. The company's most successful cancer immunotherapy drug Opdivo is expected to face pricing pressure before 2030, while its blood thinner Eliquis will face generic competition by 2028.
As of the time of publication, the company's US stock rose slightly after hours by 0.29%.