Gilead to Finance $2.175B Ouro Buyout with Galapagos Partnership
Gilead Sciences announced on March 31, 2026, a binding agreement with its partner Galapagos NV to jointly advance a new class of autoimmune therapies. This collaboration is directly tied to Gilead's acquisition of private biotech firm Ouro Medicines, a deal valued at up to $2.175 billion. The buyout consists of a $1.675 billion upfront cash payment and an additional $500 million in potential milestones.
Under the new framework, Galapagos will fund 50% of the acquisition's cost, effectively splitting the financial investment with Gilead, which already holds an approximate 25% stake in the Belgian biotech. The transaction secures a promising clinical-stage asset for both companies and significantly expands Gilead’s inflammation and immunology pipeline.
Lead Asset Gamgertamig Targets Registrational Studies by 2027
The acquisition centers on Gamgertamig (OM336), a clinical-stage T cell engager designed to treat severe autoimmune diseases by depleting pathogenic B cells and plasma cells. This therapy redirects a patient’s own immune system to attack the cells responsible for antibody-driven diseases, a novel approach that could offer durable remission. The U.S. Food and Drug Administration has already granted the therapy both Fast Track and Orphan Drug designations for treating autoimmune hemolytic anemia and immune thrombocytopenia.
Early Phase 1/2 clinical data has shown promising efficacy and a differentiated safety profile after a single treatment cycle. Bolstered by these results, Gilead expects to advance Gamgertamig into late-stage registrational studies as early as 2027, positioning it as a potential first-in-class treatment.
Galapagos Secures 23% Royalties and New Financial Flexibility
The reworked partnership provides substantial financial upside for Galapagos. In exchange for co-funding the acquisition and covering development costs through the start of registrational trials, Galapagos will receive tiered royalties of 20% to 23% on global net sales of Gamgertamig. Gilead will retain most global commercialization rights.
Furthermore, the agreement unlocks significant capital for Galapagos, allowing it to use $500 million of its cash for independent strategic transactions. Critically for shareholders, this includes the option to return up to $150 million of capital through share repurchases or dividends.
This collaboration brings a clinically meaningful, high‑potential asset into our portfolio, while preserving the majority of our cash for future opportunities... supporting a possible return of up to $150 million capital to shareholders.
— Henry Gosebruch, Chief Executive Officer of Galapagos.
