The privately held biotech will bring J&J a pair of bispecific antibodies expected to target multiple pathologic pathways in atopic dermatitis and asthma.

Daily notebook from the J.P. Morgan Healthcare Conference: Deal and strategy news from Novartis, BMS and Pfizer; Gilead talks lenacapavir PrEP launch plans; BioMarin's new CEO makes an appearance and Saunders explains the status at Bausch + Lomb.

Deal-making between big pharma and biotech looks set to rise with a looming patent cliff increasing the need for the former to replenish its pipelines. Meanwhile, biotechs need partners to help them advance amid the ongoing big freeze on raising cash on public markets.

The partnership helps close the gap between Nkarta and Fate Therapeutics in terms of the breadth of their pipelines.