In an effort to expand its cancer treatment offerings, Bristol Myers Squibb plans to acquire RayzeBio, a radiopharmaceutical therapeutics company. The deal is worth $4.1 billion, the companies announced Dec. 26.
RayzeBio is a clinical-stage radiopharmaceutical therapy, or RPT company, with several cancer treatments under development to treat solid tumors, including gastroenteropancreatic neuroendocrine tumors, small cell lung cancer and hepatocellular carcinoma. RPT is an emerging precision medicine cancer therapy approach meant to deliver targeted radiation therapy specifically to cancer cells.
"This transaction enhances our increasingly diversified oncology portfolio by bringing a differentiated platform and pipeline, and further strengthens our growth opportunities in the back half of the decade and beyond," Christopher Boerner, PhD, CEO of Bristol Myers Squibb, said in a news release. "Radiopharmaceutical therapeutics are already transforming cancer care, and RayzeBio is at the forefront of pioneering the application of this novel modality."
Under the deal, Bristol Myers Squibb will acquire RayzeBio's manufacturing facility that is under construction in Indianapolis and is expected to begin drug production in 2024.
The transaction is expected to close in the first half of 2024.