2025 Predictions: Increased Biopharma M&A Activity Expected with Viking as Top Contender
Analysts predict that there will be an increase in mergers and acquisitions in the biopharma industry in 2025, marking a slow recovery from the crash in 2023. Several biotech companies are emerging as top candidates for acquisition by larger pharmaceutical companies, with California-based Viking Therapeutics leading the pack.
Viking Therapeutics is catching the eye of analysts due to its proven drug development model and strong pipeline of obesity drugs. The biotech’s main candidate, VK2735, is a dual agonist of the GLP-1 and GIP receptors being developed as both a subcutaneous and oral treatment for obesity. Results from a Phase I study of the pill formulation showed a significant up to 6.8% weight loss after 28 days of daily 100-mg doses, while Phase II data for the subcutaneous version demonstrated a 14.7% drop in body weight after 13 weeks.
The company was set to begin a Phase II trial for the oral version of VK2735 by the end of 2024, with plans for a Phase 3 study of the injectable version pending FDA discussions. In addition to obesity, Viking’s pipeline includes promising treatments for metabolic-dysfunction associated steatohepatitis (MASH). VK2809, a selective thyroid hormone beta receptor agonist, received positive attention at a recent liver disease conference.
Overall, Viking Therapeutics is attracting interest as a potential target for acquisition in the biopharma industry due to its innovative drug development approach and promising drug pipeline.
