Johnson and Johnson (NYSE: JNJ) just took a big step in the field of immunology with a deal of $ 6.5 billion for Momenta Pharmaceuticals (NASDAQ: MNTA). On Tuesday, the giant health conglomerate announced a final agreement to acquire the biotech for $ 52.50 per share. That works out to a whopping premium of 70% over Momenta’s closing price Monday.
One of the major assets that inspired such a generating supply is nipocalimab, a potent class of antibody that targets the neonatal Fc receptor, FcRn. But geography and talent were also important factors. The health care conglomerate is envious of expanding its presence in Cambridge, Massachusetts, the world’s leading hub for biopharmaceutical innovation and the location of Momenta’s headquarters.
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Inhibition of FcRn by nipocalimab appears to reduce the concentrations of circulating immunoglobulin G antibodies thought to be responsible for damage to the nerve endings of patients with generalized myasthenia gravis and related autoimmune disorders. During a trial with 68 patients’ dose determination, 52% of those treated with the FcRn inhibitor reported significant symptom reduction compared with 15% of those receiving placebo.
Myasthenia gravis is one of many rare disorders caused by nerve-damaging autoantibodies – antibodies that inhibit this healthy function of the body instead of invading attacks. Nipocalimab is currently being tested in a phase 3 trial as a treatment for warm autoimmune hemolytic anemia patients, and Johnson & Johnson thinks there could be many more indications for autoantibody-directed treatments in the future. According to the company’s estimates, about 195 million people worldwide suffer from a rare disease caused by autoantibodies.
