Key Takeaways
- Merck is paying about $10 billion for Verona Pharma, increasing its respiratory illness drug portfolio.
- The acquisition values Verona at $107 per U.S.-listed share, 23% above its closing value yesterday.
- The acquisition offers Merck Verona’s Ohtuvayre inhaler to deal with COPD.
U.S.-listed shares of Verona Pharma (VRNA) soared to an all-time excessive Wednesday after Merck (MRK) agreed to pay about $10 billion for the British biopharmaceutical agency to spice up its attain into respiratory illness therapies.
Merck stated the deal is valued at $107 per ADS, a 23% premium to Verona’s closing value yesterday.
The acquisition offers Merck Verona’s Ohtuvayre inhaler for sufferers with power obstructive pulmonary illness (COPD). Ohtuvayre is Verona’s first business product, and the corporate reported it had gross sales of $42.3 million in 2024. Merck famous that Ohtuvayre is presently additionally being examined to deal with non-cystic fibrosis bronchiectasis, a power lung situation that damages airways within the lungs.
Merck CEO Robert Davis defined that the addition of Verona “enhances and expands our pipeline and portfolio of therapies for cardio-pulmonary ailments whereas delivering near- and long-term progress in addition to worth for shareholders.”
The transaction is predicted to be accomplished within the fourth quarter.
The information despatched U.S.-listed shares of Verona Pharma surging 21% to a file $104.92. Shares of Merck superior 2% however are down 16% year-to-date.
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