Gilead Sciences, Inc. will buy Tubulis GmbH for up to US$5 billion (A$7.2 billion) in the latest acquisition aimed at filling its pipeline of cancer drugs.
The United States-based biopharmaceutical company said it had entered into a definitive agreement to acquire the private Germany-based biotechnology company that develops next-generation antibody-drug conjugates (ADCs).
Gilead will pay $3.15 billion in cash for the equity and up to $1.85 billion in contingent milestone payments in a transaction expected to close in the second quarter of 2026.
The company said the acquisition significantly expanded its ADC capabilities by adding next-generation assets and platforms designed to more selectively deliver diverse payloads to tumours and maximise patient benefit.
“The agreement to acquire Tubulis is a significant milestone in Gilead’s progress in oncology,” Gilead Sciences Chairman and Chief Executive Officer Daniel O’Day said in a news release.
“The company brings a clinical-stage candidate that is a potential new treatment for ovarian cancer, as well as a next-generation ADC platform and a promising early pipeline.”
The agreement followed a two-year collaboration with Tubulis, which had given Gilead a strong conviction in its programs and research capabilities.
The Nasdaq-listed company has been expanding to offset falling sales of its COVID-19 treatment remdesivir, which is sold under the brand name Veklury, as patents expire on other drugs.
In February, Gilead purchased Arcellx for up to $7.8 billion, and in March, it agreed to acquire privately-held biotech firm Ouro Medicines for more than $2 billion.
Tubulis’ lead asset, TUB-040, a NaPi2b-directed topoisomerase-I inhibitor (TOPO1i) ADC, is in Phase 1b/2 development for platinum-resistant ovarian cancer and non-small cell lung cancer (NSCLC).
Gilead will also acquire TUB-030, a 5T4 targeted ADC, which has demonstrated promising initial clinical data across various solid tumour types.
Gilead said Tubulis’ programs and platforms had broad potential across multiple tumour types, complementing Gilead’s existing development and commercialisation expertise in oncology.
Gilead shares (NASDAQ: GILD) closed down $1.33 (0.95%) at $138.80 on Tuesday (Wednesday AEST), capitalising the company at $172.28 billion.
