Finance
GSK to buy 35Pharma for $950 million in CEO Miel's second major deal
Published by Global Banking & Finance Review®
Posted on February 25, 2026
2 min readLast updated: February 25, 2026
Quick Summary
GSK agreed to buy Canada’s 35Pharma for $950M in cash, adding HS235 for pulmonary hypertension. The move follows a $2.2B RAPT deal and a $1B siRNA pact with Frontier Biotech, reinforcing GSK’s RI&I strategy.
Feb 25 (Reuters) - GSK has agreed to pay $950 million in cash for Canadian biotech 35Pharma, it said on Wednesday, marking the second major deal new CEO Luke Miels has struck to accelerate development of new medicines at the British drugmaker.
Miels, who took over from Emma Walmsley last month, is trying to counter looming patent expiries for the drugmaker's top-selling HIV drugs through bolt-on deals. GSK agreed to buy RAPT Therapeutics for $2.2 billion in January.
The latest acquisition of 35Pharma's experimental pulmonary hypertension drug, HS235, will bolster GSK's future pipeline of respiratory medicines.
Pulmonary hypertension is a life-shortening disease marked by high blood pressure in the lungs that affects more than 80 million people globally. Current treatments include Merck's injectable treatment Winrevair.
GSK shares have risen nearly 21% so far this year and have staged a strong recovery compared to several European rivals after a turbulent 2025.
Miels has said GSK will keep its focus on the downstream effects of obesity like liver and heart diseases, since the obesity treatment market is becoming increasingly crowded.
HS235 is in early-stage development to treat the condition in obese patients with a type of heart condition, as well as in patients who have previously received treatment for pulmonary hypertension.
In studies of obese mice with a heart condition known as preserved ejection fraction, the drug selectively reduced fat mass and boosted heart function. If successful in clinical trials, the injectable drug could be given once every four weeks or potentially less often.
GSK also agreed to an up to $1 billion deal on Tuesday for global rights to develop Frontier Biotechnologies' therapies that target kidney diseases.
(Reporting by Prerna Bedi in Bengaluru and Bhanvi Satija in London; Editing by Mrigank Dhaniwala and Elaine Hardcastle)
Key Takeaways
- •GSK will acquire Canada-based 35Pharma for $950 million in cash.
- •The deal adds HS235, an activin signaling inhibitor for pulmonary hypertension, to GSK’s pipeline.
- •Acquisition strengthens GSK’s respiratory and RI&I portfolio under new CEO Luke Miels.
- •It follows January’s $2.2 billion agreement to buy RAPT Therapeutics.
- •Comes days after a licensing pact worth up to $1 billion with Frontier Biotechnologies for siRNA kidney therapies.
Frequently Asked Questions about GSK to buy 35Pharma for $950 million in CEO Miel's second major deal
1What is the main topic?
GSK is acquiring Canada’s 35Pharma for $950 million in cash, adding HS235—an investigational therapy for pulmonary hypertension—to strengthen its respiratory and RI&I pipeline.
2What asset is included in the deal?
GSK will acquire HS235, a clinical-stage activin signaling inhibitor being developed to treat pulmonary hypertension, including pulmonary arterial hypertension.
3Why does this acquisition matter for GSK?
It expands GSK’s respiratory and inflammation portfolio and aligns with its strategy to advance specialty medicines under new CEO Luke Miels.
4How does this fit into GSK’s recent dealmaking?
The 35Pharma deal follows GSK’s $2.2B acquisition of RAPT Therapeutics in January and an up-to-$1B siRNA licensing agreement with Frontier Biotechnologies.
