Nestlé will take full ownership of Aimmune Therapeutics, the developer of FDA approved peanut allergy drug Palforzia, by acquiring the remaining stake of 74.4% in the latter for about $2 billion.
The deal is expected to help the Swiss conglomerate’s subsidiary Nestlé Health Science and Aimmune Therapeutics to create a global leader in the prevention and treatment of food allergy.
Palforzia is the first and only FDA-approved treatment for helping in lowering the frequency and severity of allergic reaction to peanuts, which includes anaphylaxis, in children aged between four and 17 years.
Nestlé said that the transaction is an extension of Nestlé Health Science’s food allergy portfolio by creating a wider spectrum of solutions for children suffering from food allergies.
Greg Behar – Nestlé Health Science CEO said: “This transaction brings together Nestlé’s nutritional science leadership with one of the most innovative companies in food allergy treatment.
“Together we will be able to offer a wide range of solutions that can transform the lives of people suffering from food allergies around the world.”
Nestlé had invested a total of $473 million in the California-based biopharma company. In November 2016, it acquired a stake of 15% for $145 million and in February 2020, made another major investment in Aimmune Therapeutics, of $200 million to increase its stake to 25.6%.
Jayson Dallas – President and CEO of Aimmune Therapeutics said: “Delivering Palforzia, the world’s first treatment for food allergy, has been a game-changing proposition in the bio-pharmaceutical industry and is transformative for the lives of millions of people living with potentially life-threatening peanut allergy.
“This acquisition ensures a level of support for Palforzia and our pipeline that will further enhance their potential for patients around the world living with food allergies.”
The deal, which is subject to the satisfaction or waiver of customary closing conditions, is likely to be wrapped up in Q4 2020.