Bristol Myers Squibb and Bain Capital announced the creation of an independent biopharmaceutical company focused on developing therapies for autoimmune diseases that address unmet needs of patients. The new company launches with five immunology assets in-licensed from BMS and a $300 million financing commitment led by Bain Capital.
The NewCo has a pipeline consisting of three clinical-stage and two Phase 1-ready investigational medicines that each target promising mechanisms in autoimmune diseases. The most advanced assets in the NewCo’s portfolio are afimetoran, an oral, potential best-in-class TLR7/8 inhibitor being studied in a Phase 2 clinical trial for systemic lupus erythematosus (SLE), and BMS-986322, an oral TYK2 inhibitor, which successfully established proof-of-concept in a positive plaque psoriasis Phase 2 trial.
The assets licensed to NewCo reflect the strength of BMS’s scientific innovation and hold promise to address unmet needs for patients with autoimmune diseases. As part of the agreement, BMS will retain a nearly 20% equity stake in NewCo and will be entitled to royalties and milestones tied to the success of each asset.
Dr. Robert Plenge, executive vice president and chief research officer at BMS, will also serve on NewCo’s board of directors. This transaction reflects BMS’s strategic shift in Immunology research to focus on assets that have the potential to reset the immune system and promote tissue repair.
“These assets have significant potential, and we are confident that this new company will drive their development to ensure greater impact for patients,” said Julie Rozenblyum, senior vice president, business development, at BMS. “Bain Capital’s exceptional track record in building successful life-science companies by providing focused development and dedicated resources makes them ideally suited to advance these assets to realize their full promise.”
Daniel S. Lynch will serve as the executive chairman of the company’s board of directors and interim CEO. Lynch is a biopharmaceutical industry leader with decades of strategic, management and operational experience at companies spanning many stages of growth. Dr. Nicholas Downing, Dr. Adam M. Koppel, and Andrew Kaplan from Bain Capital will also join Lynch and Plenge on NewCo’s Board of Directors.
Bain Capital is investing in NewCo through its life sciences and private equity teams, drawing on over 40 years of supporting the growth and innovation of health-care companies. The Canada Pension Plan Investment Board also joined the investment.
