Oct 27 (Reuters) - BioMarin Pharmaceutical ( BMRN ) said

on Monday it plans to divest its gene therapy, a product once

expected to be a blockbuster treatment for a type of rare

bleeding disorder.

The company said it is exploring out-licensing options for

the therapy, Roctavian, and will remove it from its portfolio.

BioMarin will continue to make the therapy available in the

U.S., Germany and Italy.

Roctavian was approved in the U.S. in 2023 to treat adults

with severe hemophilia A, a rare genetic disorder where the

blood doesn't clot properly because the body lacks a protein

called factor VIII.

But the launch struggled due to limited patient eligibility,

slow reimbursement, and a high price tag of $2.9 million. The

therapy generated just $3.5 million in sales in 2023 and about

$26 million in 2024.

BioMarin had initially projected Roctavian would bring in

$100 million to $200 million in 2023, but later cut that

forecast to $50 million to $100 million, and eventually to less

than $10 million.

The weak performance drew the attention of activist investor

Elliott Investment Management, which took a stake of over $1

billion in the company in November 2023, according to a Reuters

report.

Elliott reached a deal with BioMarin to appoint three new

independent directors and form a strategic review committee to

evaluate the company's operations.

BioMarin said it will now focus on its more profitable

business units, including enzyme therapies and skeletal

conditions.