Galderma Cuts Topical Derma R&D In Favor Of Systemic Treatments
Executive Summary
Significant shifts in innovation for atopic dermatitis are behind the decision to close down the current R&D center of Nestlé group prescription dermatology business Galderma. The move affects around 550 employees in Sophia Antipolis, France, with only a small proportion likely to be offered jobs in a planned new center of excellence.
Galderma Laboratories Inc. is to close down its dermatology R&D center in Sophia Antipolis in France, in response to the emergence of new technologies that are changing the way atopic dermatitis is being treated. However, the move does not mark a departure from prescription dermatology, but a reorientation towards biologics and systemic therapy, the company said.
As a number of new biologic and systemic therapies from companies including Sanofi and Leo Pharma AS for conditions like atopic dermatitis reach the market, Galderma expects a "significant decrease" in the number of projects focused on the topical treatments that are studied at the French site. The company said it would open a new center of excellence focused on biologics and systemic therapies, and expected around 100 employees out of the 550 employed in Sophia Antipolis to be offered opportunities there. However, details of the new center have yet to be decided.
A spokesperson told Scrip that Galderma, a Nestlé group company, would "consider every option to maintain the activity in topical expertise" over the next 12 months, including the possibility of transferring the activities to a new owner. In the meantime it will open a voluntary departure plan "which could interest 300 employees."
Ceasing topical product R&D is part of a wider "global transformation plan" for Galderma and Nestlé Skin Health; the company already announced at the end of August plans to close of a factory in Egerkingen, Switzerland, citing under-use of its assets. As well as competition from new therapeutic innovations, Galderma's topical treatments are under pressure from generics.
Although Galderma's current portfolio is dominated by topical prescription products, it has licensed a biologic from Roche's Chugai Pharmaceutical Co. Ltd for development outside Japan and Taiwan. The anti-interleukin-31 receptor A monoclonal antibody nemolizumab is in Phase IIb studies in moderate to severe atopic dermatitis, the first patient having been enrolled in July 2017.
While topical treatments including corticosteroids have dominated the treatment landscape for atopic dermatitis/eczema for years, many patients are not adequately treated. Sanofi's injectable Dupixent (dupilumab), an inhibitor of interleukin 4 and interleukin 13, was approved in the US in March and is expected to receive EU approval imminently after being awarded a positive opinion for moderate to severe atopic dermatitis in July 2017. (Also see "'Potential Blockbuster' Dupixent Set For EU Eczema OK" - Scrip, 21 Jul, 2017.) Systemic oral options are also under development, with Lilly and Incyte developing the JAK 1/2 inhibitor baricitinib also for moderate to severe atopic dermatitis, and AbbVie developing another JAK inhibitor, upadacitinib.
(Also see "JAK Inhibitors Have Dupixent In Their Sights For Atopic Dermatitis" - Scrip, 19 Sep, 2017.)
Galderma said it would increase investment in biological R&D.