Home / Business and Economy / Biogen Acquires Apellis for $5.6B, Boosting Future Earnings
Biogen Acquires Apellis for $5.6B, Boosting Future Earnings
31 Mar
Summary
- Biogen acquires Apellis for $5.6 billion cash plus CVRs.
- Apellis shares surged 140.5% in pre-market trading.
- Acquisition is expected to boost Biogen's earnings starting in 2027.
Biogen Inc. has announced a definitive agreement to acquire Apellis Pharmaceuticals for an estimated $5.6 billion. Under the terms of the deal, Biogen will purchase all outstanding Apellis shares for $41.00 per share in cash at closing. Additionally, Apellis stockholders will receive a nontransferable contingent value right (CVR) for each share owned. This CVR offers the potential for two separate $2 per share payments, contingent upon Apellis's SYFOVRE meeting specific annual global net sales thresholds.
The acquisition is projected to have a positive impact on Biogen's financial performance, becoming increasingly accretive to its Non-GAAP Earnings Per Share (EPS) beginning in 2027. Furthermore, the transaction is expected to significantly enhance Biogen's non-GAAP EPS compounded annual growth rate through the end of this decade.
Following the news, Apellis Pharmaceuticals' shares experienced a substantial surge, climbing 140.5 percent to $41.10 in pre-market trading on the NasdaqGS.
