Merck KGaA (MRCG.DE), the German healthcare and technology company, is in advanced negotiations to acquire U.S.-based Springworks Therapeutics (SWTX.US), a biotech firm specializing in cancer and rare disease treatments. According to sources familiar with the matter, a deal could be finalized in the coming weeks, although terms of the potential agreement have not been disclosed.
Following the news, Springworks' stock surged almost 40% before stabilizing at a 36% gain, reflecting strong investor interest. Springworks, which has a market capitalization of approximately $4 billion, has developed Ogsiveo, a monotherapy drug approved in the U.S. for the treatment of desmoid tumors. The potential acquisition would strengthen Merck's oncology pipeline.
Uncertain Outcome and Industry Interest
While negotiations between Merck and Springworks have progressed, sources caution that other potential buyers may still emerge. Springworks has previously been the subject of takeover speculation, with reports last year suggesting interest from Swiss pharmaceutical firms and AbbVie (ABBV.US).
Merck declined to comment on the discussions but stated that it "continuously assesses options that could support its businesses and strategic positioning." Springworks has also declined to provide a statement regarding the potential deal.
Gaming companies with huge discounts π¨ Will Project Genie end the traditional era of gaming β
Lockheed Martin earnings: The peak of global tensions and valuations
Market wrap: European indices outperform US stocks ahead of the opening bell on Wall Street π
Appleβs Record Quarter: iPhone, Services, and βInvisibleβ AI. Is a Return to the Throne Imminent?