Sage Stock Surges 35% After Biogen Proposes to Buy Remaining Stake for $442 Million Deal
Drugmaker Biogen will buy all outstanding shares of Sage Therapeutics that it does not already own for $7.22 apiece, a filing showed on Friday, sending the latter's stock up 34.6% in premarket trading Monday.
As per the filing, Biogen has a 10.2% stake in Sage Therapeutics. The offer price, representing a 30% premium to the stock's close on Friday, values Sage's equity at $441.7 million, according to calculations.
Biogen has been navigating a slow pick-up in sales for its Alzheimer's drug Leqembi in the United States after concerns over cost, efficacy and side effects.
Sage, whose shares fell 74.9% last year, abandoned the development of its drug dalzanemdor after multiple trial failures. The company said in November that it will focus on its postpartum depression drug, Zurzuvae, which it developed in partnership with Biogen.
In July, Sage also scrapped the development of another neurological disorder drug it was developing with Biogen.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Most Discussed
- 1
- 2
- 3
- 4
- 5
- 6
- 7
- 8
- 9
- 10