Pfizer to buy Czen in $43 billion deal

The deal follows a once-in-a-lifetime cash windfall in Pfizer’s biggest acquisition spree. covid-19 vaccine and the pill, which will add four approved cancer treatments in 2022 with combined sales of nearly $2 billion.

Pfizer will pay $229 in cash per CZEN share, a 32.7% premium to Friday’s closing price. The offer is about a 42% premium compared to the stock’s close on February 24, a day before The Wall Street Journal first reported the potential deal.

Shares of Seazen rose to $207 before the bell on Monday.

Pfizer has hit the road for deals to cushion the impact of an estimated $17 billion drop in revenue by 2030 due to patent expiration for top drugs and a drop in demand for its COVID products.

Mohit Bansal, analyst at Wells Fargo, said in a research note, “While Pfizer still has more firepower to get deals done, we think that integrating such a large company (Pfizer) will put a pause on the M&A front.” may seem.”

The drugmaker expects more than $10 billion in “risk-adjusted” sales from Cezen in 2030.

Washington-based Siegen is a pioneer of antibody-drug conjugates (ADCs), which act like “guided missiles” designed to have a targeted destructive effect and spare healthy cells.

Pfizer’s portfolio of oncology therapies includes 24 approved drugs, including breast cancer treatment Ibrance.

The companies expect the deal to be completed in late 2023 or early 2024.

Bansal said the deal is unlikely to face major antitrust challenges as the companies do not have key overlapping products, but could still face some scrutiny due to its size.

Pfizer rivals Merck & Co Inc and Ciezen were in advanced deal talks last year but reportedly collapsed over fears of tough antitrust investigations.

The text of this story is published from a wire agency feed without any modification.