The acquisition adds multiple immunology assets to Biogen’s pipeline, including a lead anti-inflammatory candidate expected to enter Phase 1 development in the third quarter of 2026.
Biogen Inc. has agreed to acquire private biotechnology company RayThera Inc. in a transaction valued at up to $1 billion, expanding its immunology pipeline with a portfolio of anti-inflammatory drug candidates.
The companies announced that they had entered into a definitive agreement under which Biogen will acquire RayThera through a combination of an upfront payment and milestone-based payments tied primarily to future clinical and regulatory achievements.
The acquisition adds multiple immunology assets to Biogen’s portfolio. According to the companies, these anti-inflammatory candidates could potentially be developed for immune-mediated conditions across a range of indications.
The lead candidate in the portfolio is expected to enter Phase 1 development in the early third quarter of 2026.
Phase 1 trials are the first stage of testing a new medicine in humans and are designed primarily to evaluate safety.
Biogen said the acquisition strengthens its efforts in immunology, an area in which it is seeking to expand its development pipeline.
“With this acquisition, we are further deepening our pipeline in immunology by adding a suite of assets that can allow us to expand into new disease areas,” said Dr Priya Singhal, Executive Vice President and Head of Development at Biogen.
“We believe these assets can meaningfully contribute to our long-term pipeline potential and we’re excited about the opportunity to rapidly advance the first candidate into the clinic,” she said.
RayThera, based in San Diego, focuses on the discovery and development of small-molecule therapies in immunology. Small-molecule therapies are medicines made from low-molecular-weight compounds that can enter cells and influence biological processes.
Qing Dong, co-founder, Chairman and Chief Executive Officer of RayThera, said Biogen’s development capabilities made it well positioned to advance the company’s pipeline.
“With its strong global development capabilities in immunology, we believe that Biogen is the natural fit to move these assets forward into Phase 1 development and beyond,” Dong said.
“I am proud of our team at RayThera for the innovative pipeline we have built together and the rapid advancement of these molecules,” he added.
Under the agreement, RayThera shareholders will receive an upfront payment and may also receive additional clinical and regulatory milestone payments. The companies said the total potential value of the transaction could reach $1 billion.
The acquisition remains subject to customary closing conditions, including regulatory approvals. The companies expect the transaction to close in the third quarter of 2026. Once the deal is completed, Biogen will be responsible for the development, manufacturing and global commercialisation of the acquired assets.
