Skip to main content
  • Register
  • Help
  • Contact us
  • Log out of your HL account

Merck to buy ArQule in $2.7bn cash deal

Mon 09 December 2019 12:39 | A A A

No recommendation

No news or research item is a personal recommendation to deal. Hargreaves Lansdown may not share ShareCast's (powered by Digital Look) views.

(Sharecast News) - Merck has agreed to buy biopharmaceutical group ArQule in a $2.7bn cash deal.

Under the terms of the transaction, which is expected to close in the first quarter of next year, Merck will pay $20 per share. The price represents a 100% premium to ArQule's closing share price on Friday.

ArQule is engaged in the research and development of targeted therapeutics to treat cancers and rare diseases. Its clinical-stage pipeline consists of four drug candidates, all of which are in targeted, biomarker-defined patient populations.

Roger M. Perlmutter, president of Merck Research Laboratories, said: "ArQule's focus on precision medicine has yielded multiple clinical-stage oral kinase inhibitors that have novel and important properties.

"This acquisition strengthens Merck's pipeline with the addition of these strategic assets including, most notably, ARQ 531, a compelling candidate for the treatment of B-cell malignancies."

At 1305 GMT, ArQule shares were up 101% in pre-market trade at $19.41.

    The value of investments can go down in value as well as up, so you could get back less than you invest. It is therefore important that you understand the risks and commitments. This website is not personal advice based on your circumstances. So you can make informed decisions for yourself we aim to provide you with the best information, best service and best prices. If you are unsure about the suitability of an investment please contact us for advice.

    More company news from ShareCast