AbbVie is buying a biotech company working on an experimental eczema drug for $10.9 billion

By Jaimy Lee

If approved, the drug would be a new option for people with atopic dermatitis

AbbVie is buying Apogee Therapeutics, which is developing a long-acting treatment for atopic dermatitis.

AbbVie is acquiring a biotech company that is developing a promising drug for atopic dermatitis for $10.9 billion in cash.

Acquisition target Apogee Therapeutics is working on a long-acting treatment for atopic dermatitis that's set to move into Phase 3 trials later this year. The drug works by blocking IL-13, the protein that causes eczema.

If approved, the drug would compete with Dupixent, an IL-4 and IL-13 inhibitor that is used to treat numerous inflammatory conditions like atopic dermatitis and chronic obstructive pulmonary disease, or COPD. That medicine, which is sold by Regeneron Pharmaceuticals (REGN) and Sanofi (FR:SAN), is one of the world's top-selling drugs.

Apogee, which is based near Boston, is betting that the drug, zumilokibart, is a better version of Dupixent. A Phase 3 trial is set to start later this year. About 16 million adults and 10 million children in the U.S. have atopic dermatitis, which is a form of eczema, according to the National Eczema Association. Atopic dermatitis rates are increasing, particularly among children.

"Zumilokibart could fill an important niche in the evolving atopic dermatitis landscape," BMO Capital Markets analyst Evan David Seigerman told investors this weekend after the the Financial Times first reported that a deal was close.

AbbVie has long been known for its work on Humira, the rheumatoid-arthritis drug that was once the world's biggest-selling drug, and then fiercely protecting that medicine's patent. With Humira only recently losing patent protection, AbbVie has to shore up its business to satisfy investors. A deal to buy Apogee represents solid footing for the company, given its expertise developing and selling Humira for a range of inflammatory conditions, according to Seigerman.

The deal is one of the largest pharmaceutical acquisitions of 2025-26. So far this year, the other biggest deals have been Sun Pharma's (IN:524715) acquisition of the women's-health company Organon for $11.8 billion and GSK's (UK:GSK) purchase of the cancer-drug developer Nuvalent for $10.6 billion.

AbbVie (ABBV) is paying $135.11 per share, a premium to Apogee's closing price of $90.38 on Thursday, before the holiday market closure on Friday. Its shares closed 6.3% higher on Monday, while Apogee's stock (APGE) closing up 46.7%. The deal, approved by the boards at both companies, is expected to close in the third quarter.

AbbVie's stock is flat so far this year, while Apogee's shares have gained 75%.

-Jaimy Lee

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06-22-26 1626ET