Why is J&J getting rid of Galapagos’ shares, when Everyone else is Buying?

03/03/2016 - 2 minutes

J&J has sold over 2 million of Galapagos‘ shares, which had been inherited from previous acquisitions, reducing its equity in this Belgian Biotech to below 5%. What’s wrong?

galapagos_jonhson&johnson_j&j_rheumatoid_arthritis_stock_share_crucell_tibotec_vircoBack in May, we talked about how J&J and AbbVie could be entering a fight for Galapagos’ filgotinib, a drug for rheumatoid arthritis (RA) that performed well in a phase II trial.

This was connected to the loss of patents for RA in both companies. For example, J&J’s Remicade is no longer covered by a patent in several European countries and faces competition from biosimilars like Celltrion‘s Remsima (South Korea). And the US patent is likely to expire in 2018.

This is a considerable cause of concern for this Big Pharma, as Remicade is the main income in pharmaceutical’s sales for J&J.

However, J&J didn’t make a move on filgotinib –

This content is available exclusively to our paying members.

Our members receive the following benefits:

  • Unlock premium articles
  • Download our industry reports
  • Remove all banner ads
  • Access 1,500+ archived posts
  • Support our independent media
Already a member? Sign in
ADVERTISEMENT
Do you want to remove this advert? Become a member!
ADVERTISEMENT
Do you want to remove this advert? Become a member!