CMIC Holdings Co., Ltd.

President Donald Trump's "America First" investment policy, Pfizer's U.S. manufacturing plan, and Blackstone's purchase of a 60% stake in CMIC made our news this week. U.S. President Donald Trump has issued a memorandum directing federal agencies to restrict inbound and outbound investments related to China in several sectors, including biotech. Pfizer could shift overseas production to the U.S. if tariffs become a problem, CEO Albert Bourla, Ph.D., said. Blackstone bought a 60% stake in Japanese CRO giant CMIC. And more.1. Trump's 'America First' investment policy raises uncertainty for US-China biotech dealmakingPresident Donald Trump’s newly issued "America First Investment Policy" aims to put additional restrictions on both inbound and outbound investments related to China in some strategic industries, including biotechnology. While the high-level policy still needs to be fleshed out with specific rules, it hints at potential disruptions to biopharma dealmaking between the U.S. and China.2. Pfizer could shift overseas production to US if Trump's pharma tariffs take hold, CEO saysFollowing President Donald Trump’s threat of placing additional tariffs on pharmaceutical imports, Pfizer CEO Albert Bourla, Ph.D., said the company could try to mitigate the impact by transferring manufacturing stateside. Pfizer currently has 13 U.S. manufacturing sites, including several megasites for sterile injectables and antibody manufacturing, he noted at an investor event.3. Blackstone buys majority stake in CMIC, Japan's largest contract research organizationJapan’s first and largest CRO, CMIC, has sold a 60% stake to private equity giant Blackstone for an undisclosed price. In a release, Blackstone Japan’s head of private equity, Atsuhiko Sakamoto, described the purchase as a continuation of the firm’s strong commitment to Japan and investing in life-sciences-related services, where it has built a meaningful portfolio in Japan and around the world.4. China bans sales of Illumina DNA sequencers as Trump escalates global tariffsRight after the U.S. went ahead with an additional 10% tariffs—on top of another 10% levied in early February—on Chinese imports, China banned Illumina’s DNA sequencers. Illumina is still able to operate in China, as the Chinese government’s notice did not mention the reagents or consumables necessary to run the sequencing machines, the company noted.5. Takeda's $300M bet on Protagonist's blood cancer drug pays off with phase 3 winTakeda’s rusfertide, an injectable hepcidin mimetic, has succeeded in a phase 3 trial in a rare blood disorder called polycythemia vera, the company said. The drug induced a response—defined as patients not requiring phlebotomy across weeks 20 to 32 of treatment—in 77% of patients. For the placebo group, the rate was 33%. Takeda licensed the product last year from Protagonist Therapeutics.6. AstraZeneca, Daiichi unblind Enhertu study early as star ADC helps stomach cancer patients live longerAstraZeneca and Daiichi Sankyo’s Enhertu significantly prolonged patients’ lives in second-line HER2-positive stomach cancer. The readout came from an interim analysis of the phase 3 DESTINY-Gastric04 trial, which pitted the HER2-targeted antibody-drug conjugate against Eli Lilly’s Cyramza and chemo. Apparently encouraged by the result, the companies have launched a phase 3 trial in the first-line setting.Other News of Note:7. As Gardasil underwhelms, Merck lights up landmarks in China in HPV awareness day push8. Takeda rains 100 toy zebras down on Boston Celtics fans to mark Rare Disease Day9. In UK, it's strike 2 for Alzheimer's treatments from Lilly and Biogen/Eisai10. Eisai, Biogen's Leqembi emerges from safety reappraisal unscathed as Europe's CHMP endorses slate of new drugs and label expansions11. Granules slammed in FDA warning letter detailing discarded documents, intruding birds at Indian plant12. Glenmark issues another recall, this time for nearly 1.5M bottles of generic ADHD drug13. Nxera sells APAC license to lupus drug to Viatris for $10M upfront

Blackstone has recently been busy in Japan, as showcased by its May 2024 acquisition of clinical trial management company I’rom Group.\n Private equity giant Blackstone is going big on Japan, acquiring a majority stake in the country’s leading contract research organization, CMIC.Blackstone now owns 60% of the CRO, the New York-based firm announced in a March 3 release, while CMIC’s holding company owns the remaining 40%. Blackstone didn\'t reveal the purchase price for the CMIC stake.“This is a continuation of our strong commitment to Japan—one of our fastest-growing markets globally—and investing in our high conviction theme, life-sciences-related services, where we’ve built a meaningful portfolio in Japan and around the world,” Atsuhiko Sakamoto, Blackstone Japan’s head of private equity, said in the release.Founded in 1992, CMIC was Japan’s first CRO and is its largest, with operations in 12 countries including Australia, China, South Korea and Taiwan.The company is no stranger to the U.S., either, having struck partnerships in recent years with the Moffitt Cancer Center in Tampa, Florida, and Rutgers University in New Jersey.Blackstone has recently been busy in Japan, as showcased by its May 2024 acquisition of clinical trial management company I’rom Group.  Blackstone isn’t the only American private equity firm betting big on healthcare in the land of the rising sun. Last month, Bain Capital triumphed in a bidding war to acquire Japan’s Mitsubishi Tanabe Pharma for $3.3 billion, carving it out from parent company Mitsubishi Chemical Group.Blackstone’s CMIC buy follows several of its recent stateside biotech ventures, including its move to pledge up to $750 million to Moderna to support mRNA flu vaccines and the $300 million unveiling of a new immunology and inflammation biotech, Uniquity Bio, complete with a phase 2 antibody licensed from Merck & Co.

The U.S. unit of CMIC—one of Japan’s oldest and and biggest contract manufacturers—is partnering with Rutgers University to develop a specialized manufacturing center. CMIC USA, a unit of one of Japan’s oldest and and biggest contract manufacturers, has linked up with Rutgers University to develop a center in New Jersey focused on advanced pharmaceutical production. The center will be located at CMIC’s 224,000-square foot facility in Cranbury, New Jersey. Tokyo-based CMIC, which established its U.S. unit in 2001, chose to partner with Rutgers because of the university's background in pharmaceutical research through its Center for Structured Organic Particulate Systems and its leading expertise in continuous manufacturing, the company said in a release. Financial details and information about the center's opening date weren’t disclosed. However, during the announcement at CMIC's headquarters in Tokyo, New Jersey Governor Phil Murphy said the partnership is expected to “double the number of jobs at the new Cranberry facility in the future.” Globally, CMIC Group operates facilities in the U.S., Japan and Asia with more than 7,000 employees.