Categories Health Care, U.S. Markets News

Immune Design stock more than triples as it gets acquired by Merck

Merck (MRK) announced today that it will acquire immunotherapy developer Immune Design (IMDZ) for $5.85 per share in cash for an approximate value of $300 million. Shares of Immune Design skyrocketed more than 300% in the pre-market trading, while Merck stock traded flat.

Under the terms of the acquisition agreement, Merck, through a subsidiary, will initiate a tender offer to acquire all outstanding shares of Immune Design. Upon the successful completion of the tender offer, Merck will acquire all shares not acquired in the tender through a second-step merger. The deal is expected to close early in the second quarter of 2019.

Also read: Merck Q4 2018 Earnings Conference Call Transcript

“This acquisition builds upon Merck’s industry-leading programs that harness the power of the immune system to prevent and treat disease,” said Dr. Roger Perlmutter, President, Merck Research Laboratories.

In August 2015, Immune Design entered into clinical collaboration agreements through subsidiaries of Merck, known as MSD outside of the United States and Canada, to evaluate the safety and efficacy of two Immune Design immuno-oncology investigative drugs.

Earlier this month, Merck reported Q4 results, which surpassed earnings and revenue estimates of the Wall Street. Sales of Keytruda, the company’s cancer treatment drug, rose 66% in the fourth quarter.

“We believe this agreement creates shareholder value by positioning our technologies and capabilities for long-term success with a leading, research-driven biopharmaceutical company,” said Dr. Carlos Paya, CEO, Immune Design.

Shares of Immune Design hit a new 52-week high after the market opened, while Merck stock opened about a dollar below its 52-week high price of $80.19.

 

We’re on Apple News! Follow us to receive the latest stock market, earnings, and financial news at your fingertips

 

 

Most Popular

Infographic: How Take-Two Interactive Software (TTWO) performed in Q1 2022

Take-Two Interactive Software, Inc. (NASDAQ: TTWO) reported first quarter 2022 earnings results today. Net revenue decreased 2% year-over-year to $813.3 million. GAAP net income increased 72% to $152.3 million, or $1.30 per share,

IPO News: What to know when Cadre Holdings goes public this week

The IPO market is having a remarkable year as several companies line up to go public. This week will see Cadre Holdings join the group. Here are a few things

The worst seems to be over for ExxonMobil (XOM). Is stock a buy?

With the relaxation of COVID restrictions being extended to more areas, energy demand is picking up as transportation services including air travel restart in many markets. In a sign that

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top