Pfizer Announces Strategic Shift Away from Early-Stage Rare Disease Research

Intelligent Finance APP learned that, according to reports, Pfizer (PFE.US) told employees on Thursday that the company is planning to reduce early-stage research on rare diseases. The company stated that it will "externalize" most of the early rare disease projects in neurology and cardiology, as well as gene therapy projects that have not yet entered clinical trials; late-stage rare disease candidates are not affected by this decision.

A spokesperson for Pfizer stated that the company will focus on non-viral vector gene therapies in the future, which may include mRNA-based therapies. Traditional viral vector-based gene therapies, once the brightest new thing in biotechnology, have faced setbacks in safety, efficacy, and commercial aspects in recent years.

Considering that Pfizer has a gene therapy manufacturing facility in Durham, North Carolina, USA, for clinical development projects, this decision is somewhat surprising. In December 2021, the company announced an additional investment of $70 million in the facility. It was reported that Pfizer might sell the production facility. As part of the externalization process, Pfizer will relocate its cancer/rare disease R&D department to Boulder, Colorado, where Array Biopharma, acquired by Pfizer in 2019, is located.

Pfizer's decision will not further impact the development of rare disease treatments in its research pipeline, such as the therapy for sickle cell disease currently being tested by the company. The company also stated that it will continue to enter into agreements with biotechnology firms to bring late-stage rare disease projects developed outside the company into its portfolio.

Nevertheless, this statement marks a significant shift in Pfizer's internal early-stage research on rare diseases, including a reorganization that will transfer the remaining early-stage rare disease programs from a dedicated research unit to pre-existing departments focused on specific therapeutic areas.

These changes do not appear to be cost-cutting measures, which Pfizer has little need to take. The company continues to maintain high revenues driven by products like the COVID-19 vaccine and oral treatments, and has announced several multi-billion-dollar acquisitions in recent months.