Pharmaceutical industry
Billion deal: Merck takes over cancer specialist Springworks
The pharmaceutical company strengthens its business with cancer medicines. Merck pays around three billion euros for the US cancer specialist SpringWorks. The Darmstadt residents are primarily targeting one field.
The Darmstadt Merck Group strengthens its business with cancer medicine with a billion-dollar takeover in the United States. The DAX company pays three billion euros for the BioTech company SpringWorks Therapeutics or $ 47 per Springworks share. It is the greatest takeover for Merck in years.
Merck boss Belén Garijo described the deal as directional. “In the Healthcare area, we sharpen our focus on rare tumors by purchasing our focus, accelerate growth and strengthen our presence in the USA.” The takeover is to be completed in the second half of the year. Before that, the shareholders of Springworks and the authorities must agree.
Springworks based in the US state of Connecticut was split off by the pharmaceutical giant Pfizer in 2017. The company focuses on therapies against rare tumors and blood cancer and already has a medication approved in the United States for the treatment of progressive soft tubes. It could soon get approval in the EU. Merck wants to build a leadership position in rare tumors and sees a large therapy piece there. Just last week, the pharmaceutical and technology group reported “far advanced conversations” with Springworks.
Merck under pressure after medication flops
Merck’s pharmaceutical division recently grew solidly again. However, the group is under pressure to launch new medication. Several hopes of hope that Merck should rinse billions into the cash registers have failed in clinical studies.
Merck had therefore increasingly relied on the marketing of their medication with other companies, but recently considered again. Even after the planned purchase of Springworks, Merck will be able to manage other “larger transactions”, emphasized CEO Garijo.
The last major takeover in 2019 with the U.S. helmet conductor Versum Versum made material worth around 5.8 billion euros. The greatest purchase in the company’s history was the US laboratory supplier Sigma-Aldrich, which Merck took over in 2015 for 13 billion euros.
dpa
Source: Stern
