AbbVie is nearing a $10.9 billion cash acquisition of Apogee Therapeutics, gaining an experimental eczema drug at a roughly 60% premium to the biotech's market value.
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AbbVie nears $10.9B deal for Apogee to gain eczema drug
AbbVie Inc. is nearing a deal to acquire Apogee Therapeutics Inc. for about $10.9 billion in cash, gaining an experimental atopic dermatitis drug that would strengthen its immunology pipeline as Humira faces biosimilar erosion.
The transaction would value Apogee at roughly a 60% premium to its closing share price on Thursday, the Financial Times reported Friday, citing people familiar with the matter. An announcement could come as early as Monday, provided negotiations conclude without last-minute issues, the report said.
Apogee, founded in 2022, focuses on therapies for inflammatory and immune diseases. Its lead candidate targets atopic dermatitis, a chronic skin condition affecting millions of patients. The biotech last month secured a financing package worth up to $1.3 billion from Blackstone Life Sciences to support late-stage development and potential commercialization of the eczema drug.
The deal would mark AbbVie's latest move to replenish its pipeline as revenue from Humira, once the world's best-selling drug, continues to decline after biosimilar competition eroded its market share. AbbVie won U.S. Food and Drug Administration approval in May for pivekimab sunirine-pvzy, a treatment for a rare blood cancer, further bolstering its portfolio.
Apogee shares have gained 19.7% year to date, giving the company a market capitalization of about $6.81 billion, according to LSEG data. The 60% acquisition premium implies AbbVie sees significant value in the biotech's pipeline beyond its current valuation.
The acquisition would continue a wave of consolidation in the biotech sector as large pharmaceutical companies deploy cash to acquire promising late-stage assets. AbbVie's cash offer structure avoids the complexity of stock-based transactions and could accelerate closing, though the deal will require regulatory approvals.
Neither AbbVie nor Apogee immediately responded to requests for comment. AbbVie's U.S. offices were closed Friday for the Juneteenth holiday.
This article is for informational purposes only and does not constitute investment advice.
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