Abbott Laboratories / Facet Biotech Corporation

Multiple Sclerosis (relapsing forms)

Disease Overview

Multiple sclerosis is a chronic, immune-mediated demyelinating disease of the central nervous system, with a relapsing-remitting form most common at diagnosis. Roughly 727,000 US adults were estimated living with MS at the time of the deal (2010 prevalence study), with a 3:1 female-to-male skew. Standard 2010 disease-modifying therapy was dominated by interferons and glatiramer acetate, with newer oral and biologic options just emerging.

Competitive Landscape

In 2010, the MS DMT market was crowded but biologically narrow. Interferon-betas (Avonex, Rebif, Betaseron, Extavia) and glatiramer acetate (Copaxone) dominated. Tysabri (natalizumab; Biogen/Elan) had returned post-PML black box. Novartis's oral fingolimod (Gilenya) was nearing 2010 FDA approval and Genzyme's alemtuzumab (Lemtrada) was in late-stage trials. Daclizumab — co-owned by Facet and Biogen, and originally developed at PDL BioPharma — was a humanized anti-CD25 monoclonal antibody differentiated by Phase II data showing ~45% reduction in annualized relapse rate and 54% reduction in new lesions. Abbott's $722M offer ($27/share, $450M net of Facet's ~$272M cash) followed a hostile Biogen bid that topped at $17/share and was rejected; the final price represented a 67% premium over pre-Biogen levels. Beyond daclizumab, Abbott picked up oncology candidates in multiple myeloma and CLL plus an antibody engineering platform. The asset eventually launched as Zinbryta (FDA approved May 2016 by Biogen/AbbVie post-Abbott spin), but was withdrawn worldwide in March 2018 after reports of fatal autoimmune encephalitis — a stark cautionary on novel-MoA biologics in MS where safety, not efficacy, ultimately broke the franchise.