An indication stands outdoors a Abbvie facility in Cambridge, Massachusetts, May 20, 2021.
Brian Snyder | Reuters
AbbVie on Wednesday stated it should acquire neuroscience drugmaker Cerevel Therapeutics for roughly $8.7 billion.
Under the terms of the deal, AbbVie pays $45 per share for Cerevel. AbbVie stated it expects to full the acquisition in the midst of 2024.
Shares of Cerevel jumped 16% after the shut Wednesday to practically $43 per share, just under the acquisition worth. Shares of Abbvie had been down lower than 1% in prolonged buying and selling.
The deal is AbbVie’s newest try to broaden its drug pipeline as its top-selling remedies, comparable to Humira, face generic competitors. Just final week, AbbVie agreed to buy most cancers drug developer Immunogen for practically $10 billion.
Cerevel will particularly beef up AbbVie’s portfolio for psychiatric and neurological issues “the place important unmet wants stay,” in accordance to a launch from AbbVie.
Cerevel will deliver over medication comparable to Emraclidine, an experimental therapy for each schizophrenia and Alzheimer’s illness psychosis, together with signs like hallucinations and delusion. That drug is presently in a section one research in aged volunteers.
“Our current neuroscience portfolio and our mixed pipeline with Cerevel represents a major development alternative properly into the subsequent decade,” stated Richard Gonzalez, CEO and chairman of AbbVie, in an announcement. “AbbVie will leverage its deep industrial capabilities, worldwide infrastructure, and regulatory and scientific experience to ship substantial shareholder worth with multibillion-dollar gross sales potential throughout Cerevel’s portfolio of property.”
AbbVie stated it should maintain an investor convention name in regards to the deal on Thursday at 8:00 a.m. ET.