BIO opposes FTC interference in vital biotech merger activity

US trade body the Biotechnology Innovation Organization (BIO) said on Friday that it has filed an amicus brief opposing the Federal Trade Commission (FTC) lawsuit to block Amgen’s (Nasdaq: AMGN) proposed acquisition of Horizon Therapeutics (Nasdaq: HZNP) for $27.8 billion, arguing that the FTC’s overreach threatens the merger and acquisition activity that is the lifeblood of biotech innovation.

The brief filed August 24 contends that BIO’s members would be harmed by any decision that impedes, or casts doubt on, the biotech deal-making that is essential to life-saving innovations.

“The biotech environment is unique in that there’s a long tradition of these small innovators playing a complementary and collaborative role. As they move through the drug development process, it is often logical for small innovators to be acquired by a larger firm,” explained BIO deputy general counsel John Delacourt, who worked on the brief. “This process has led to the US being the number one drug development country in the world,” he noted.