Biotech company in Philadelphia faces job reductions following acquisition by a major pharmaceutical corporation.
In a significant move, California-based pharmaceutical giant Gilead Sciences announced the discontinuation of its Tmunity division, a Philadelphia-based biotech company specialising in CAR T-cell therapies, in June 2023. The decision came after the acquisition of Tmunity for approximately $300 million in February of the same year [1].
The closure resulted in the elimination of jobs for Tmunity's remaining 14 employees, with a payroll of $2.1 million and an annual loss of local tax revenue of $123,201 [2]. The Philadelphia offices, located at both 3020 Market St. and 2929 Arch St., were closed, a move confirmed in a WARN letter issued in June 2022 [2].
Despite the setbacks with Tmunity, Gilead Sciences remains committed to advancing next-generation cell therapies. The company's primary focus is on its Kite unit, which specialises in CAR T-cell therapies. Recently, Kite and the University of Pennsylvania reported promising Phase I interim data on a dual-target CAR T therapy for glioblastoma, showing tumor shrinkage and some durable disease control in patients [1]. Gilead plans further clinical trials exploring additional targets and use in earlier-stage patients [1].
Alongside Kite, Gilead is investing broadly in oncology therapies addressing tumor cell death, immune activation, and tumor microenvironment remodelling [3]. The company's overarching goal is to use cell therapy to treat and potentially cure cancer.
Gilead Sciences, headquartered in Foster City, California, and incorporated in Delaware, generated $28.7 billion in revenue from selling its products and royalties in 2024, with a net income of $480 million [4]. The company manufactures its cell therapy products in California, Maryland, and the Netherlands.
Notably, Gilead sells products that treat HIV, viral hepatitis, COVID-19, cancer, and inflammation. Federal regulators have required a boxed warning label about the "risk of secondary malignancies in patients treated with CAR T-cell therapy" since April 2024 [5].
Laid-off workers were offered 65 days of transition time for internal opportunities and three months of career outplacement services [2]. Tmunity had raised $231 million just before the COVID-19 pandemic hit in 2020 [6]. At its peak, Tmunity appeared to employ dozens of workers in the Philadelphia metro area.
In a statement, Gilead declined an interview request for this news story. The company began consolidating its research operations into its California offices in November 2024, which included winding down the research led out of Philadelphia through the Tmunity acquisition [7].
The closure of Tmunity's Philadelphia operations marks a shift in Gilead's strategy, focusing on its Kite unit to strengthen its position in cell therapy despite earlier integration challenges [1][2][3].
References: [1] Gilead Sciences Press Release, 2023. [2] Philadelphia Inquirer, 2022. [3] Gilead Sciences Investor Presentation, 2024. [4] Gilead Sciences Annual Report, 2024. [5] U.S. Food and Drug Administration, 2024. [6] Tmunity Therapeutics Press Release, 2020. [7] Gilead Sciences Press Release, 2024.
- Despite the closure of Tmunity's Philadelphia operations, Gilead Sciences continues to show interest in sports-related therapy, particularly with its Kite unit specializing in CAR T-cell therapies.
- The company's overarching goal is to use cell therapy to treat and potentially cure diseases, including cancer, similar to how sports aim to improve health and promote healing.
