GSK Boosts Cancer Portfolio, Acquires Nuvalent for $10.6 Billion
Emmanuel Addeh in Abuja
GSK has agreed to buy U.S.-listed cancer drug developer, Nuvalent, for $10.6 billion in its largest deal in more than a decade, marking a major strategic shift under new Chief Executive, Luke Miels, as the British company steps up its focus on oncology.
The all-cash deal values Nuvalent at approximately $124 per share, a 40 per cent premium to its last closing price. Shares in Nuvalent, which develops lung cancer drugs, were up about 38 per cent at $122.10 in U.S. premarket trade. GSK shares slipped over 3 per cent in early trading in London.
The deal marks a departure from GSK’s usual strategy of smaller “bolt-on” deals as Miels, who took over from Emma Walmsley at the start of the year, looks to convince investors the drugmaker can hit a bold target of £40 billion in annual revenue by 2031, a Reuters report said.
