Key Signals from JPM 2026: Unveiling Multinational Pharma BD Strategies

The M&A market at the 2026 JPM Annual Meeting is unusually calm, perhaps exceeding everyone's expectations.

Of course, this does not mean that the most core industry cycle models of the biotech industry, such as mergers and acquisitions and pipeline introductions, will become sluggish. For example, Merck and Novo Nordisk have both sent out clear signals: collaborations worth tens of billions of dollars are completely manageable.

In fact, multinational pharmaceutical companies have long abandoned the "wide net" layout model, shifting from "scale first" to "certainty first, capability match first." As Novo Nordisk stated, a cooperation volume of $40 billion can be fully undertaken, but only if the project is "worth it."

A further analysis of the statements made by multinational pharmaceutical companies reveals that each company's BD and cooperation strategies are precisely aligned with their own strategic needs.

For example, AstraZeneca emphasizes shifting from single-product collaborations to co-building R&D systems; Sanofi, on the other hand, tends to focus on early-stage assets, especially those expected to enter the harvest period around 2028-2030.

Next, how will the path differences in BD layout among different multinational pharmaceutical companies play out?

/ 01 / Merck: $15 billion level is not the ceiling

For Merck, the starting point of BD is not complicated, as it is the company most typically affected by this round of patent cliff pressures. Keytruda has been providing the company with long-term and sustained revenue, but it will soon face patent expiration.

Despite a relatively abundant internal R&D pipeline in terms of quantity and coverage, with 80 Phase III clinical trials currently underway and the first wave of commercialization for 20 growth drivers already initiated, the company must face the imminent revenue cliff of Keytruda in the short term. External BD has shifted from being an "optional" strategy to a "must-have."

In terms of resource selection, Merck focuses on scientific beliefs and unmet needs, with key areas including oncology, cardiometabolic diseases, and immunology, continuing the principle of "science-driven and strategic synergy."

Regarding pricing, Merck's attitude has been more open than the market expected. Since 2021, Merck has invested over $60 billion in business development. During this conference, the company clearly stated,"We are not limited by the balance sheet, but by the opportunity itself."

The 15 billion USD level is not the upper limit.CEO Rob Davis stated at the conference: "If the science holds up and the value holds up, the company is willing to go even bigger, and tens of billions of dollars would be seriously considered."

/ 02 / Johnson & Johnson: Balancing Platform Assets and Products

Johnson & Johnson's pharmaceutical sector is currently in a transition period between old and new products, with STELARA, SIMPONI, and DARZALEX facing patent expirations within the next five years.

Johnson & Johnson has been highly active in business development (BD) in recent years: In 2024, Johnson & Johnson acquired Ambrx for nearly $2 billion, integrating ADC technology to advance cancer treatment. In 2025, Johnson & Johnson further acquired Intra-Cellular Therapies for $14.6 billion, strengthening its neuroscience pipeline.

At this year's JPM conference, Johnson & Johnson continued to emphasize the strategic core areas of oncology, immunology, and neuroscience, with capital allocation focused on early-stage collaborations while maintaining financial flexibility.

In terms of M&A targets, it is different from filling short-term gaps through M&A.Johnson & Johnson emphasizes the equal importance of platform-based assets and products, is willing to make early investments in potential platform-level assets, while maintaining a high level of commercial certainty at the single-product level.

Differentiating itself, its BD focus is more on early-stage technologies and small licensing deals, and when necessary, it participates in mid-sized M&A in an opportunistic manner, rather than relying on large deals to drive growth.

Overall, mergers and acquisitions are not a short-term "lifesaving tool" for Johnson & Johnson, but rather an optional growth accelerator for the future.

/ 03 /BMS: Prioritize Short-term Effective Assets

In 2025, BMS completed 5 BD deals, including the acquisition of Orbital Therapeutics; partnered with BioNTech to obtain Pumitamig, a PD-L1/VEGF-A bispecific antibody, strengthening its presence in oncology, immunology, and cardiovascular fields, and enhancing long-term growth prospects.

By 2026, BMS CEO Chris Boerner said at the meeting,"BD remains the top priority of the company's capital allocation strategy for 2026."The company's BD will continue to maintain financial discipline. Christian Rommel stated that the company's team is focused on science, execution, and value, utilizing AI to plan operations to achieve BD's strategic flexibility.

Pipeline diversification has been a strategic focus for BMS in recent years. At this conference,The company emphasized that it will continue to focus on its core therapeutic areas, with BD opportunities covering assets at different stages (Phase 1, 2, and 3). However, priority will be given to projects that can deliver growth within a visible timeframe while offering long-term expansion potential. The company remains cautious about tracks that are "too early" or "too crowded."

For BD transaction capabilities, the company stated that it has sufficient financial capital to support transactions that meet these criteria.

Looking ahead to 2026, BMS's BD will place greater emphasis on sustainability to ensure that capital investment serves both current growth and provides assurance for future pipeline expansion and long-term competitiveness.

/ 04 / Sanofi: Uncovering Early Assets

Like most MNCs, Sanofi also cannot avoid the practical pressure brought by the patent cycle of its core products. Fortunately, there is sufficient time to strategize, as its key product Dupilumab will not face patent expiration until 2031.

For BD planning for the future, the company has a clear mindset: focus on core businesses and explore early-stage assets.

The company's management has made it clear that they will continue to focus on the long-term development of the vaccine business.This "grabbing" has actually been quietly unfolding over the past few months. Sanofi successively acquired Blueprint and Dynavax, gaining their assets and continuously enhancing its vaccine and related technology pipelines.

At the same time, Sanofi will continue to explore early-stage assets.

Sanofi CEO Paul Hudson's statement at the JPM2026 conference: "Sanofi plans to add 8 to 12 high-quality R&D projects, and the various discussions conducted this week at the conference may help achieve this goal." The core of this effort is to prepare for the impact of Dupilumab.Therefore, the target of asset transactions does not focus on short-term listed products but more clearly aims at a group of products entering the market around 2028–2030.

/ 05 / AstraZeneca: Shifting from Products to the Entire R&D System

For AstraZeneca, the current logic of mergers, acquisitions, and collaborations has shifted to a strategic choice aimed at solidifying long-term growth trajectories and enhancing core R&D capabilities.

Simply put, AstraZeneca's BD moves have shifted from products to the entire R&D system, with a stronger emphasis on execution and innovation efficiency.

As AstraZeneca's attitude towards AI, the company believes that artificial intelligence is positioned as a core driver throughout the entire value chain.

On January 13, AstraZeneca announced the acquisition of Modella AI to further advance the application of AI in pharmaceuticals. Gabi Raia, Chief Business Officer of Modella AI, stated: By integrating AI capabilities into the oncology R&D process, it is expected to increase the probability of clinical success and optimize trial design.

For AstraZeneca, this acquisition will greatly advance the company's efforts in quantitative pathology and biomarker discovery by introducing more data and artificial intelligence capabilities. This will continue to help screen patients for drug trials more quickly, thereby increasing the chances of clinical success and reducing related costs.

In fact,It's not just AI; AstraZeneca's deep collaboration with domestic pharmaceutical companies like Harbour BioMed in the past also reflects the emphasis on the R&D system.

/ 06 / AbbVie: Continued Focus on ADC and Hematologic Tumors

At the outset of the 2026 JPM conference, AbbVie once again captured market attention with a $650 million upfront payment to acquire Rongchang Biologics' PD-L1/VEGF bispecific antibody RC148.

This precise investment not only joins the IO2.0 competition but also creates synergy with its own ADC platform, supporting combination therapy strategies. This reflects the company's approach to mergers and acquisitions:High prices are not off-limits, but the premise is that the benefits of combination therapy or platform amplification must be clearly visible.

During the Q&A session, AbbVie further clarified its oncology pipeline strategy: the internal pipeline now has a solid foundation for the sustainable generation of assets. Meanwhile, external collaborations are being leveraged to supplement and strengthen the pipeline, such as the PD-L1/VEGF bispecific antibody partnership.In the future, the company will continue to focus on high-potential external opportunities such as ADC and hematological tumors to improve the overall pipeline layout.

In terms of business development strategy, the company focuses on building growth engines for the 2030s, possesses the financial capability to address short-term opportunities, but prioritizes the deployment of long-term differentiated assets.

Looking back, from acquiring Allergan to expand its medical aesthetics business, to bringing in Cerevel to strengthen its neuroscience pipeline, and then to ImmunoGen's ADC platform, AbbVie has emphasized capability alignment and long-term synergy with each step, rather than simply expanding its pipeline.

AbbVie’s positioning for BD is very clear: the transformation strategy following the expiration of Humira has entered the execution phase, with pipeline advancement and long-term growth remaining as the core strategic priorities.

/ 07 / Novo Nordisk: Capable of Undertaking $40 Billion in M&A

Surprisingly, at this year's JPM conference, the head of business development at Novo Nordisk mentioned that the company had arranged over 200 BD meetings during the event. Despite the increasing frequency of Novo Nordisk’s M&A activities, the company’s objectives remain very clear:The Two Core Areas: Diabetes and Obesity.

Novo Nordisk's Senior Vice President of Global Business Development, Tamara Dassau, stated in an interview: Novo Nordisk is currently making every effort to find more drugs for the treatment of obesity and diabetes. They are particularly keen on discovering new mechanisms for treating these diseases and improving the tolerability or dosage of the drugs.

Of course, Dalsøe said that in addition to obesity and diabetes, Novo Nordisk is also looking to acquire some rare disease assets. Particularly for rare blood disorders, these can complement its existing product portfolio. Whether it's obesity itself, metabolic complications, or cardiovascular and kidney diseases, Novo Nordisk’s M&A logic always revolves around how to maximize the value of its existing assets.

In terms of M&A capabilities,Novo Nordisk stated it has the capability to undertake M&A deals worth $20 billion, $30 billion, or even $40 billion, but the core premise is that BD must possess value matching the price.

In the metabolic business, Novo Nordisk will continue to deepen its efforts.

/ 08 / Summary

Despite a pullback in the number of M&A deals in the life sciences sector in 2025, the total value of deals for the year surged 81% year-on-year to approximately $240 billion, driven by several blockbuster transactions led by large pharmaceutical companies.

Fewer but larger and more "selective" deals represent a shift in MNCs' M&A strategies under the influence of policy environments and market demands. This trend was further confirmed at the 2026 J.P. Morgan Healthcare Conference.

Most MNCs still adopt a parallel strategy of internal R&D and external BD, but remain cautious in capital allocation. BD activities focus on core competencies, key areas, and guaranteed returns, targeting assets that align with their core capabilities and can strengthen long-term R&D and technical strength.

It can be expected that today's biopharmaceutical industry is transitioning from "short-term transaction-driven" to "long-term strategy-driven."

       Title: 2026 JPM Core Signals: A Deep Dive into the BD Strategies of Multinational Pharmaceutical Companies