Biotech has a wave of rally going on after a pleasant surprise from HGSI on its phase III clinical trial on Lupus drug. Today in after hour, news was out that BMY will buy MEDX, a long term partner, for $16/share (MEDX closed the day at $8.4/share). This will for sure spur another round of speculative rally.
Bristol-Myers Squibb to Acquire Medarex
- Positions Bristol-Myers Squibb for Long-Term Leadership in Biologics
- Acquires Proven Antibody Discovery Technology
- Gains Full Rights to Promising Phase III Compound, Ipilimumab
- Significantly Expands Oncology and Immunology Pipeline
NEW YORK & PRINCETON, N.J.--(BUSINESS WIRE)--Bristol-Myers Squibb Company (NYSE:BMY) and Medarex, Inc. (NASDAQ: MEDX) announced today that the companies have signed a definitive merger agreement providing for the acquisition of Medarex by Bristol-Myers Squibb, for $16.00 per share in cash. The transaction, with an aggregate purchase price of approximately $2.4 billion, has been unanimously approved by the boards of directors of both companies. Medarex’s projected $300 million in net cash and marketable securities at closing would be an asset acquired by Bristol-Myers Squibb resulting in an implied purchase price of approximately $2.1 billion.