On August 18, Gilead Sciences rose 3.05% in regular trading, trading at $143.155/share, with turnover of $235 million. The rally was driven by the company's announcement of a $7.8 billion equity-value acquisition of cancer therapy developer Arcellx.
Under the deal terms, Gilead will pay $115 per share in cash plus a $5 per share contingent value right, representing an 87% premium to Arcellx's previous closing price. The acquisition is viewed as a strategic move to further strengthen Gilead's oncology pipeline, complementing its existing cell therapy assets including the Anito-Cel program approaching its FDA PDUFA date. The deal also follows the recent FDA approval of Trodelvy for first-line triple-negative breast cancer and an EMA recommendation for a Trodelvy-Keytruda combination.
Additionally, Gilead's most recent Q2 results showed revenue of $7.8 billion beating estimates of $7.4 billion, while full-year adjusted loss guidance was narrowed to $0.30-$0.65 per share, better than the consensus estimate of $0.75 loss, supported by HIV growth guidance raised to 9-10%.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
Comments