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Pfizer in advanced talks to buy Global Blood Therapeutics for $5 billion - WSJ

Published 08/05/2022, 11:44 AM
Updated 08/05/2022, 12:55 PM
© Reuters. FILE PHOTO: People pose with syringe with needle in front of displayed Pfizer logo in this illustration taken, December 11, 2021. REUTERS/Dado Ruvic/Illustration/File Photo

(Reuters) -Pfizer Inc is in advanced talks to buy drugmaker Global Blood Therapeutics (NASDAQ:GBT) for about $5 billion, the Wall Street Journal reported on Friday, citing people familiar with the matter.

Pfizer (NYSE:PFE) is aiming to seal a deal in the coming days, but other suitors are still in the mix, the report said.

Shares of Global Blood, which makes a blood disorder drug called Oxbryta, soared 44% in afternoon trade to a two-year high. The company had a market capitalization of $3.12 billion, as of Thursday's closing price.

Pfizer declined to comment on the report, while a Global Blood spokesperson said it does not "comment on market rumors or speculation".

New York-based Pfizer, flush with cash from its COVID-19 vaccine, is on the lookout for acquisitions that could bring in billions in annual sales by the end of the decade.

Its $11.6 billion deal for migraine drug maker Biohaven Pharmaceutical Holding in May was the latest in a string of acquisitions including Trillium Therapeutics (NASDAQ:TRIL) and Arena Pharmaceuticals over recent years.

Global Blood's Oxbryta was approved in the United States for the treatment of sickle cell disease among patients 12 years and older in 2019. In December, the oral drug received approval for the treatment of the condition in younger patients as well.

Sales of the drug rose more than 50% to $194.7 million in 2021.

© Reuters. FILE PHOTO: People pose with syringe with needle in front of displayed Pfizer logo in this illustration taken, December 11, 2021. REUTERS/Dado Ruvic/Illustration/File Photo

Biotech dealmaking activity has picked up again in recent months after a bleak start to the year, when a dearth of major acquisitions and clinical-stage drug failures dampened investor sentiment and squeezed funding.

On Thursday, Amgen Inc (NASDAQ:AMGN) agreed to buy drugmaker ChemoCentryx (NASDAQ:CCXI) Inc for $3.7 billion to gain access to a potential blockbuster treatment for inflammatory disorders.

Latest comments

I wonder how many shares Pelosi and Fauci have in Pfizer ...
make em sick with the covid shot then provide something to take the 'edge' off the endless symptoms for those that survive the experimental shot ... good business plan.
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