GSK Acquires Bellus Health for $2 Billion

On Tuesday, GSK announced that it had reached an agreement to acquire Bellus Health Inc. for nearly $2 billion. Bellus, a Canada-based biopharmaceutical company, will provide GSK access to camlipixant, a Phase 3 clinical trial candidate for treating refractory chronic cough (RCC).

GSK will pay $14.75 per share of common stock for the purchase, representing a 103% premium to Monday's closing stock price. Subject to regulatory approval, the purchase will be GSK’s largest in years, surpassing the company’s 2022 acquisition of Sierra Oncology for $1.9 billion.

Bellus’s only clinical target, RCC, is a cough that persists despite treatment. It often occurs after a viral infection and is seen in 20–46% of patients presenting to cough specialists. Current treatments involve speech pathology interventions and neuromodulators like gabapentin and pregabalin.

Camlipixant is a P2X3 antagonist that works by inhibiting receptors and reducing cough frequency in patients with RCC. In the 2021 SOOTHE Phase 2b clinical trial, the drug positively impacted patients with RCC, reducing cough frequency by as much as 34%. Bellus is now enrolling for Phase 3 trials, which should be complete by 2025.

“Patients suffering from severe forms of refractory chronic cough can experience over 900 coughs daily, resulting in quality-of-life issues,” said Luke Miels, Chief Commercial Officer. “Camlipixant, a novel, highly selective P2X3 antagonist, has the potential to be a best-in-class treatment with significant sales potential. This proposed acquisition complements our portfolio of specialty medicines and builds on our expertise in respiratory therapies.”

GSK’s current product list includes 20+ vaccines and several respiratory-focused therapies making the acquisition opportune for both companies.

“As a leader in respiratory research for over five decades, GSK shares our commitment to bettering the lives of individuals suffering from a persistent cough and is the ideal company to rapidly bring camlipixant to the millions suffering from refractory chronic cough around the world,” said Roberto Bellini, CEO of Bellus.

GSK expects camlipixant to gain FDA approval by 2026, delivering profits as soon as 2027.

In late 2022, rival pharma companies Merck and Bayer were still struggling to get their versions of a P2X3 antagonist on the market. Merck’s candidate failed to pass muster with FDA officials, although it was eventually approved in Japan. The FDA rejected Bayer’s product, and soon after, the company canceled the project.

The two companies’ failures leave GSK standing alone as one of the only pharmaceutical firms with a P2X3 antagonist expecting potential FDA approval.