The Federal Trade Commission (FTC) recently announced that it has moved to dismiss its case against pharmaceutical giant Sanofi following the company’s decision to terminate its proposed acquisition of an exclusive license to Maze Therapeutics Inc.’s developmental drug for Pompe disease. The termination comes after the FTC’s legal challenge against the transaction, which it claimed would eliminate nascent competition and maintain Sanofi’s monopoly in the Pompe disease therapy market.
Bureau of Competition Acting Deputy Director Nate Soderstrom hailed the development as a victory for patients and the FTC. He stated, “Sanofi’s decision not to pursue this anticompetitive transaction is a big win for patients and an important victory for the FTC. The proposed deal would have allowed Sanofi to maintain its monopoly power by eliminating nascent competition, in turn reducing innovation for lifesaving, essential care.”
Soderstrom further noted that the deal would have enabled Sanofi to continue charging patients monopoly prices of over $750,000 annually for its Pompe therapies. However, with the transaction now off the table, both Sanofi and Maze can compete on merit and work towards offering better and affordable treatment options for patients suffering from this debilitating disease.
On December 11, 2023, the FTC sued to block Sanofi’s acquisition of an exclusive license to Maze’s Phase 2-ready developmental drug—a glycogen synthase 1 inhibitor named MZE001. The FTC alleged that the deal would eliminate a budding competitor set to challenge Sanofi’s monopoly in the Pompe disease therapy market.
Following the FTC’s administrative complaint and authorization of a lawsuit in federal court, Sanofi announced its decision to terminate the agreement with Maze. Subsequently, on December 13, 2023, the FTC moved to dismiss its federal court and administrative challenge.
Soderstrom concluded by affirming the FTC’s commitment to enforcing antitrust laws to protect patients and expressed gratitude towards the FTC staff who worked on the case. He said, “The FTC will not hesitate to take action in enforcing the antitrust laws to protect patients. This result would not have been possible without the exceptional skill, hard work, and dedication of staff to the FTC’s mission.”
For the latest news on everything happening in Chester County and the surrounding area, be sure to follow MyChesCo on Google News and MSN.