Merck to Acquire SpringWorks Therapeutics for $3.5 Billion, Bolstering Rare Tumor Portfolio

On April 24, the share price of SpringWorks Therapeutics rose by 9%, reaching a market value of $3.369 billion, following a report by The Wall Street Journal that Merck KGaA is nearing a deal to acquire the U.S.-based biopharmaceutical company for $3.5 billion.

SpringWorks Therapeutics' stock price rose 9.03% Thursday afternoon to $44.93.

According to informed sources, the two companies have reached an agreement at a price close to $47 per share. If the negotiations do not encounter any last-minute obstacles, the deal could be finalized as early as next Monday.

German life science and chemical company Merck Group said in February that it was in advanced talks to acquire SpringWorks Therapeutics after indicating last year that it was looking for deals.

SpringWorks Therapeutics launched its first drug, Ogsiveo, in late 2023. It is a treatment for adult desmoid tumors, which are rare tumors that occur in connective tissue. As of Thursday, the company's market value was slightly above $3 billion. 2024SpringWorks Therapeutics Revenue Reaches $191 Million, withOgsiveo contributed $172 million. This year, FDAApproval of MEK Inhibitor GOMEKLI™ (mirdametinib) for the Treatment of Adult and Pediatric Patients with Symptomatic NF1-PN That Cannot Be Completely Resected.