01:31 PM EDT, 08/25/2025 (MT Newswires) -- AbbVie ( ABBV ) will acquire Gilgamesh Pharmaceuticals' investigational depression drug for up to $1.2 billion, expanding its psychiatry pipeline, the companies said Monday.

The acquisition price for Gilgamesh' lead asset, bretisilocin, includes an upfront payment and milestones-based consideration. The transaction is subject to closing conditions.

A phase 2a study of bretisilocin targeting patients with moderate-to-severe major depressive disorder showed a "clinically impactful and statistically significant" reduction in the severity of depressive symptoms, according to the statement.

"This acquisition underscores our commitment to broadening and enhancing psychiatric care by investing in novel treatment approaches with the potential to reach patients for whom other treatments have been ineffective," AbbVie ( ABBV ) Chief Scientific Officer Roopal Thakkar said.

The deal follows last year's collaboration between AbbVie ( ABBV ) and privately-held Gilgamesh to develop next-generation therapies for the treatment of psychiatric disorders.

As part of the latest deal, Gilgamesh will spin off an entity to be called Gilgamesh Pharma, which is expected to hold its employees and other programs, according to the statement.

"AbbVie's ( ABBV ) leadership in neuroscience and commitment to advancing innovative treatments make them the ideal partner to advance bretisilocin rapidly forward while enabling Gilgamesh to continue pursuing our broader mission of developing novel, transformative therapies for complex mental health and neurological condition," Gilgamesh Chief Executive Jonathan Sporn said.

Shares of AbbVie ( ABBV ) were down 1.5% in Monday afternoon trading.

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