Pfizer goes shopping in biotech: buy Seagen for 43 billion. The American pharmaceutical giant has reached an agreement to buy the biotech company Seagen, which specializes in innovative anticancer therapies, for 43 billion dollars, including debt. Pfizer will pay $229 per share in cash, a 32,7% premium to Friday's closing price. Seagen is one of the pioneers of a new class of antibody treatments that act like guided missiles by attacking tumors with toxic agents. Its therapies have been approved for some types of lymphoma and have recently shown positive effects on breast cancer when used in conjunction with other immunotherapies.
Il title of Pfizer gains 2,27% on the S&P 500. A decidedly positive session for Seagen which trades up 16,16%.
Pfizer-Seagen Agreement
The operation has received the unanimous green light of the boards of directors of both companies, informs a statement. Pfizer believes Seagen could contribute more than $10 billion in risk-adjusted revenues in 2030, with significant growth potential beyond 2030.
Pfizer is looking to grow its oncology portfolio as the drugmaker braces for a sharp drop in sales of its Covid-19 vaccines and patent expirations for some of its best-selling treatments. The Seagen deal will add four approved cancer therapies with combined sales of nearly $2 billion in 2022.
Comments from CEO Bourla
"Today we intensify the fight against cancer", announces the president and CEO of Pfizer with a tweet, Albert Bourla. Cancer is "one of the leading causes of death worldwide, with a significant impact on public health," the statement said. According to Bourla "this acquisition will strengthen Pfizer's position in this important sector and will contribute significantly to the achievement of the company's financial objectives" in the short and long term.
