Pharmaceutical company Merck has bought biotech firm Prometheus Biosciences for $11 billion. This will help Merck to diversify its portfolio and grow in the immunology sector. Merck’s financial results for the fourth quarter of 2022 were better than expected, thanks in part to strong sales of its cancer drugs. However, sales of its anti-Covid treatment molnupiravir declined. From September to December, Merck’s sales were $13.8 billion, up two percent year-on-year.
Prometheus Biosciences is based in California and is developing a treatment for autoimmune diseases, including ulcerative colitis and Crohn’s disease. The company’s share price was $114.01 when the New York Stock Exchange closed on Friday.
Merck’s chairman and CEO Robert Davis said that the acquisition of Prometheus will help to meet “substantial unmet patient need” in the immunology sector. The deal will be completed through a subsidiary of Merck and will be for $200.00 per share in cash, with a total equity value of approximately $10.8 billion.
This story was originally published by a syndicated news agency and has not been edited by News18 staff.
