Pfizer‘s (NYSE: PFE) interest in the field of gene therapy just got real. The pharma giant just spent $193 million to pick up Bamboo Therapeutics Inc., a privately-held biotechnology company that focuses on therapies for rare and devastating central nervous system (CNS) and neuromuscular diseases.
In the first quarter of 2016, Pfizer acquired 22% of Bamboo’s fully diluted equity for $43 million. On August 2, the company announced that it had acquired the remaining equity for an upfront payment of $150 million. Bamboo Therapeutics is also eligible to receive milestone payments of up to $495 million.
Since 2014, Pfizer has established gene therapy-based collaborations, research and license agreements with several entities, including the Genetic Medicines Institute (GMI) in London, Philadelphia-based Spark Therapeutics, King’s College London, University of Iowa Research Foundation and California-based 4D Molecular Therapeutics (4DMT). However, the purchase of Bamboo Therapeutics is Pfizer’s first outright acquisition in this field.
Currently, there are no FDA-approved gene therapy products in the United States. Bamboo’s portfolio provides Pfizer with a neuromuscular pre-clinical asset for Duchenne Muscular Dystrophy (DMD), a CNS pre-clinical assets for Friedreich’s Ataxia and Canavan disease, and a Phase I asset for Giant Axonal Neuropathy.
Knowing Pfizer, this is just the start of something big(ger).
