Alnylam Accelerates Development of RNAi Pipeline in $2 Billion Blackstone Deal

Alnylam Accelerates Development of RNAi Pipeline in $2 Billion Blackstone Deal

Rare Daily Staff

Blackstone will provide up to $2 billion to Alnylam through a collaboration that will allow the drugmaker to advance its pipeline of RNAi therapeutics.

As part of the agreement, Blackstone is purchasing 50 percent of the royalties owed to Alnylam on global sales of inclisiran, an experimental RNAi therapeutic for the treatment of hypercholesterolemia, currently under review by the U.S. Food and Drug Administration.

Inclisiran is a twice yearly, subcutaneously-injected, RNAi therapeutic that has been shown in a late-stage study to reduce low-density lipoprotein (LDL) or “bad” cholesterol with an acceptable safety profile. If approved, this medicine is expected to help patients lower LDL cholesterol, a major risk factor for cardiovascular disease, the leading cause of mortality in the United States and globally.

Novartis added inclisiran to its pipeline through its acquisition of The Medicines Company, and has global rights to develop, manufacture and commercialize inclisiran under a license and collaboration agreement with Alnylam.

“A central component of this strategic relationship is a partial monetization of our royalty for inclisiran. If approved, we believe this therapy holds enormous promise as a potential game-changer in hypercholesterolemia management,” said John Maraganore, CEO of Alnylam. “If approved, we believe this therapy holds enormous promise as a potential game-changer in hypercholesterolemia management. We are pleased to retain half of the royalties we receive from Novartis, allowing Alnylam to benefit from inclisiran’s anticipated future success.”

The strategic financing collaboration, led by Blackstone Life Sciences and GSO Capital Partners, Blackstone’s credit platform, is expected to enable Alnylam’s achievement of a self-sustainable financial profile without need for future equity financing, accelerating the commercial potential of Alnylam’s rapidly advancing product portfolio, and support the development and delivery of promising medicines to the patients who need them. It is one of the largest private financings of a biotech company.

The transaction includes the inclisiran royalty monetization, corporate debt, purchase of Alnylam equity, and funding for certain R&D activities related to the clinical advancement of two Alnylam investigational RNAi therapeutic programs in cardiovascular disease.

Blackstone and GSO will provide $1 billion in committed payments to acquire 50 percent of Alnylam’s royalties and commercial milestones for inclisiran; up to $750 million in a first lien senior secured term loan led by GSO; up to $150 million from Blackstone Life Sciences for development of Alnylam’s cardiometabolic programs vutrisiran and ALN-AGT; and a $100 million purchase of Alnylam common stock.

Photo: John Maraganore, CEO of Alnylam