Johnson & Johnson announced it has agreed to purchase Momenta Pharmaceuticals Inc for about $6.5 billion to bolster its portfolio of drugs for hard-to-treat autoimmune diseases.
J&J’s Janssen unit will gain access to Momenta’s experimental therapy, nipocalimab, which is in late-stage testing for warm antibody hemolytic anemia, a condition that causes destruction of healthy red blood cells, and mid-stage testing for myasthenia gravis, a neuromuscular disease.
Nipocalimab is expected to eventually win approval to treat several conditions, “many as first-in-class indications with potential for significant peak year sales, some of which could exceed $1 billion,” J&J said in a statement.
We find the deal modestly surprising as we see every one of Momenta’s assets as somewhat tricky to develop,” said BTIG analyst Thomas Shrader.
Shares of Cambridge, Massachusetts-based Momenta were up 69.2% at $52.15, just a hair’s breadth away from the offer price of $52.50.