Bris­tol-My­ers dodges a bul­let as PT­AB turns down in­ter partes re­view pitch for Cel­gene's cash cow

Cel­gene just won an­oth­er cru­cial patent skir­mish in its on­go­ing fight to keep its block­buster rev­enue pump­ing in from Revlim­id — a key fea­ture in the shaky $74 bil­lion buy­out deal that Bris­tol-My­ers Squibb has been de­fend­ing in a se­ries of ap­pear­ances over the last few days.

The Patent Tri­al and Ap­peal Board has de­nied a pe­ti­tion from Alvo­gen for an in­ter partes re­view of the Revlim­id patents. That move comes a month af­ter Dr. Red­dy’s was al­so stiff armed.

Charles Ban­croft

Alvo­gen has be­gun rolling out a gener­ic ver­sion of Revlim­id in cer­tain small Eu­ro­pean mar­kets in re­cent weeks, rais­ing fresh ques­tions about the dura­bil­i­ty of the fran­chise, which pro­duced $9.7 bil­lion of Cel­gene’s $15.2 bil­lion in sales rev­enue last year — a whop­ping 64% of its to­tal rev­enue.

Crit­ics have not­ed that Bris­tol-My­ers is buy­ing in­to one of the great patent cliffs in all of bio­phar­ma and an IPR process right now would have raised se­ri­ous con­cerns about ac­cel­er­at­ing the loss of patent pro­tec­tion. As it stands, an­a­lysts ex­pect to see Revlim­id to start fac­ing off against cheap­er gener­ics in 2022, when Nat­co has a deal to be­gin lim­it­ed mar­ket­ing that steadi­ly ramps up to a full scale cam­paign.

In the mean­time, Bris­tol-My­ers is bet­ting that it can gain ap­provals on 6 late-stage drugs in Cel­gene’s pipeline — in­clud­ing ozan­i­mod, JCAR017 and bb2121. But the tightrope walk is rais­ing qualms that one mis­step could cost the com­pa­ny dear­ly, with sev­er­al ob­servers won­der­ing if an ac­ci­dent-prone Cel­gene team is set­ting up Bris­tol-My­ers for a set­back.

“When we got in­to more broad­er dili­gence, the first thing we looked at again was Revlim­id IP, be­cause a cer­tain­ty of those cash flows were fun­da­men­tal to our cal­cu­lus in all of this,” said Bris­tol-My­ers CFO Charles Ban­croft in a Q&A with Bar­clays’ Ge­off Meacham yes­ter­day. Through it all, he main­tained, Bris­tol-My­ers took a more con­ser­v­a­tive ap­proach than any­one to what Revlim­id will be­ing in.

Bris­tol-My­ers ex­ec­u­tive team, led by CEO Gio­van­ni Caforio, have been rat­tled by some out­spo­ken op­po­si­tion to the deal. Af­ter its largest in­vestor turned against the buy­out, they’ve been mak­ing their case for the M&A deal. But new ques­tions have arisen re­lat­ed to the ozan­i­mod patent that Cel­gene holds.

To­day, the cards fells in Bris­tol-My­ers’ fa­vor. Its shares are down 2.2% in mid-morn­ing trad­ing.

BiTE® Plat­form and the Evo­lu­tion To­ward Off-The-Shelf Im­muno-On­col­o­gy Ap­proach­es

Despite rapid advances in the field of immuno-oncology that have transformed the cancer treatment landscape, many cancer patients are still left behind.1,2 Not every person has access to innovative therapies designed specifically to treat his or her disease. Many currently available immuno-oncology-based approaches and chemotherapies have brought long-term benefits to some patients — but many patients still need other therapeutic options.3

President Donald Trump (left) and Moncef Slaoui, head of Operation Warp Speed (Alex Brandon, AP Images)

UP­DAT­ED: White House names fi­nal­ists for Op­er­a­tion Warp Speed — with 5 ex­pect­ed names and one no­table omis­sion

A month after word first broke of the Trump Administration’s plan to rapidly accelerate the development and production of a Covid-19 vaccine, the White House has selected the five vaccine candidates they consider most likely to succeed, The New York Times reported.

Most of the names in the plan, known as Operation Warp Speed, will come as little surprise to those who have watched the last four months of vaccine developments: Moderna, which was the first vaccine to reach humans and is now the furthest along of any US effort; J&J, which has not gone into trials but received around $500 million in funding from BARDA earlier this year; the joint AstraZeneca-Oxford venture which was granted $1.2 billion from BARDA two weeks ago; Pfizer, which has been working with the mRNA biotech BioNTech; and Merck, which just entered the race and expects to put their two vaccine candidates into humans later this year.

Is a pow­er­house Mer­ck team prepar­ing to leap past Roche — and leave Gilead and Bris­tol My­ers be­hind — in the race to TIG­IT dom­i­na­tion?

Roche caused quite a stir at ASCO with its first look at some positive — but not so impressive — data for their combination of Tecentriq with their anti-TIGIT drug tiragolumab. But some analysts believe that Merck is positioned to make a bid — soon — for the lead in the race to a second-wave combo immuno-oncology approach with its own ambitious early-stage program tied to a dominant Keytruda.

Endpoints Premium

Premium subscription required

Unlock this article along with other benefits by subscribing to one of our paid plans.

José Basel­ga finds promise in new class of RNA-mod­i­fy­ing can­cer tar­gets, lock­ing in 3 pre­clin­i­cal pro­grams with $55M

Having dived early into some of the RNA breakthroughs of the last decades — betting on Moderna’s mRNA tech and teaming up with Silence on the siRNA front — AstraZeneca is jumping into a new arena: going after proteins that modify RNA.

Their partner of choice is Accent Therapeutics, which is receiving $55 million in upfront payment to steer a selected preclinical program through to the end of Phase I. After AstraZeneca takes over, the Lexington, MA-based startup has the option to co-develop and co-commercialize in the US — and collect up to $1.1 billion in milestones in the long run. The deal also covers two other potential drug candidates.

Endpoints News

Keep reading Endpoints with a free subscription

Unlock this story instantly and join 83,000+ biopharma pros reading Endpoints daily — and it's free.

Bris­tol My­ers is clean­ing up the post-Cel­gene merg­er pipeline, and they’re sweep­ing out an ex­per­i­men­tal check­point in the process

Back during the lead up to the $74 billion buyout of Celgene, the big biotech’s leadership did a little housecleaning with a major pact it had forged with Jounce. Out went the $2.6 billion deal and a collaboration on ICOS and PD-1.

Celgene, though, also added a $530 million deal — $50 million up front — to get the worldwide rights to JTX-8064, a drug that targets the LILRB2 receptor on macrophages.

Endpoints News

Keep reading Endpoints with a free subscription

Unlock this story instantly and join 83,000+ biopharma pros reading Endpoints daily — and it's free.

Leen Kawas, Athira CEO (Athira)

Can a small biotech suc­cess­ful­ly tack­le an Ever­est climb like Alzheimer’s? Athi­ra has $85M and some in­flu­en­tial back­ers ready to give it a shot

There haven’t been a lot of big venture rounds for biotech companies looking to run a Phase II study in Alzheimer’s.

The field has been a disaster over the past decade. Amyloid didn’t pan out as a target — going down in a litany of Phase III failures — and is now making its last stand at Biogen. Tau is a comer, but when you look around and all you see is destruction, the idea of backing a startup trying to find complex cocktails to swing the course of this devilishly complicated memory-wasting disease would daunt the pluckiest investors.

GSK presents case to ex­pand use of its lu­pus drug in pa­tients with kid­ney dis­ease, but the field is evolv­ing. How long will the mo­nop­oly last?

In 2011, GlaxoSmithKline’s Benlysta became the first biologic to win approval for lupus patients. Nine years on, the British drugmaker has unveiled detailed positive results from a study testing the drug in lupus patients with associated kidney disease — a post-marketing requirement from the initial FDA approval.

Lupus is a drug developer’s nightmare. In the last six decades, there has been just one FDA approval (Benlysta), with the field resembling a graveyard in recent years with a string of failures including UCB and Biogen’s late-stage flop, as well as defeats in Xencor and Sanofi’s programs. One of the main reasons the success has eluded researchers is because lupus, akin to cancer, is not just one disease — it really is a disease of many diseases, noted Al Roy, executive director of Lupus Clinical Investigators Network, an initiative of New York-based Lupus Research Alliance that claims it is the world’s leading private funder of lupus research, in an interview.

Covid-19 roundup: Mod­er­na read­ies to en­ter PhI­II in Ju­ly, As­traZeneca not far be­hind; EU ready to ne­go­ti­ate vac­cine ac­cess with $2.7B fund

Moderna may soon add another first to the Covid-19 vaccine race.

In March, the mRNA biotech was the first company to put a Covid-19 vaccine into humans. Next month, they may become the first company to put their vaccine into the large, late-stage trials that are needed to prove whether the vaccine is effective.

In an interview with JAMA editor Howard Bauchner, NIAID chief Anthony Fauci said that a 30,000-person, Phase III trial for Moderna’s vaccine could start in July. The news comes a week after Moderna began a Phase II study that will enroll several hundred people.

Endpoints News

Keep reading Endpoints with a free subscription

Unlock this story instantly and join 83,000+ biopharma pros reading Endpoints daily — and it's free.

Pfiz­er’s Doug Gior­dano has $500M — and some ad­vice — to of­fer a cer­tain breed of 'break­through' biotech

So let’s say you’re running a cutting-edge, clinical-stage biotech, probably public, but not necessarily so, which could see some big advantages teaming up with some marquee researchers, picking up say $50 million to $75 million dollars in a non-threatening minority equity investment that could take you to the next level.

Doug Giordano might have some thoughts on how that could work out.

The SVP of business development at the pharma giant has helped forge a new fund called the Pfizer Breakthrough Growth Initiative. And he has $500 million of Pfizer’s money to put behind 7 to 10 — or so — biotech stocks that fit that general description.

Endpoints News

Keep reading Endpoints with a free subscription

Unlock this story instantly and join 83,000+ biopharma pros reading Endpoints daily — and it's free.