Gilead to buy CymaBay Therapeutics for $4.3 billion
CymaBay Therapeutics Inc (NASDAQ: CBAY) opened more than 25% up this morning after Gilead Sciences Inc (NASDAQ: GILD) said it will buy the biopharmaceutical company for $4.3 billion.
Details of Gilead-CymaBay agreementCopy link to section
The said deal values CymaBay at $32.50 per share.
Lead asset of this Newark-headquartered firm is “seladelpar” – a candidate drug for primary biliary cholangitis. The acquisition, therefore, will help Gilead Sciences expand its liver portfolio.
The news arrives only days after the pharmaceutical behemoth reported its per-share earnings for the fourth quarter that came in shy of Street estimates.
Also on Monday, analysts at Oppenheimer lowered their price target on $GILD that currently pays a dividend yield of 4.18% to $105. But that still represents about a 45% upside from here.
Looking to invest?
Invest globally in stocks, options, futures, currencies, bonds and funds from a single unified platform, with our highest-rated broker.
Here’s what Gilead’s CEO said todayCopy link to section
The Food and Drug Administration of the United States is expected to announce its verdict on seladelpar following a priority review in August of 2024.
Are you looking for fast-news, hot-tips and market analysis? Sign-up for the Invezz newsletter, today.
Gilead expects its deal with CymaBay Therapeutics to close in the first quarter of 2024 provided it satisfies the customary closing conditions including regulatory approval. Daniel O’Day – its chief executive said in a press release today:
We’re looking forward to advancing seladelpar by leveraging Gilead’s long-standing expertise in treating and curing liver diseases. We have the potential to address unmet need for people living with PBC.
$GILD has been under pressure lately also because its Trodelvy disappointed in a later stage cancer trial in January as Invezz reported here.
Copy expert traders easily with eToro. Invest in stocks like Tesla & Apple. Instantly trade ETFs like FTSE 100 & S&P 500. Sign-up in minutes.
eToro offers real assets only, no CFD products. eToro USA LLC and eToro USA Securities Inc.; Investing involves risk, including loss of principal; Not a recommendation.