Bristol Myers Squibb on Friday announced it agreed to buy biopharmaceutical company Karuna Therapeutics for $14 billion in cash, or $330 per share.
Karuna’s stock closed up more than 47% on the news Friday, hitting $317.85 a share. Bristol Myers Squibb shares closed up 2%.
The deal will help expand Bristol Myers’ drug pipeline after competition from a generic offering caused demand for the company’s blood cancer drug Revlimid to tumble in its third quarter.
The boards of directors at both Bristol Myers and Karuna unanimously approved the acquisition, and it is expected to close in the first half of 2024, according to a release.
Karuna develops medications for patients living with neurological and psychiatric conditions. The company’s lead asset is an antipsychotic called KarXT, which is expected to serve as a treatment for adults with schizophrenia beginning in late 2024, the release said.
“There are tremendous opportunities in neuroscience, and Karuna strengthens our position and…
2023-12-22 16:00:40
Link from www.cnbc.com
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