Biotech company Seagen surged in pre-market trade on Monday after agreeing to be bought by Pfizer in a $43bn cash deal.
Pfizer will pay $229 per share for Seagen, which discovers, develops and commercialises cancer medicines.
Chief executive Albert Bourla said: “Pfizer is deploying its financial resources to advance the battle against cancer, a leading cause of death worldwide with a significant impact on public health.
“Together, Pfizer and Seagen seek to accelerate the next generation of cancer breakthroughs and bring new solutions to patients by combining the power of Seagen’s antibody-drug conjugate (ADC) technology with the scale and strength of Pfizer’s capabilities and expertise.”
Seagen expects to generate around $2.2bn of revenue in 2023, representing 12% year-over-year growth, from its four in-line medicines, royalties and collaboration and license agreements.
Pfizer believes that Seagen could contribute more than $10bn in risk-adjusted revenues in 2030, with potential “significant” growth beyond 2030.
At 1140 GMT, Seagen shares were up 20% in pre-market trade at $206.30.
