Bristol-Myers Squibb to Acquire Celgene for About $74 Billion
Celgene is involved in the development and commercialization of cancer therapies
Global biopharmaceutical company Bristol-Myers Squibb Co. BMY 0.87% will acquire Celgene Corp. CELG 3.98% in a cash and stock transaction for about $74 billion.
Under the deal, Celgene shareholders will receive one Bristol-Myers Squibb share and $50 in cash for each share of Celgene, the companies announced Thursday. Celgene shareholders will also receive one tradeable Contingent Value Right for each share of Celgene. A CVR is often used when buyers and sellers can’t agree on a purchase price and usually kicks in after an acquired company meets certain sales or regulatory targets.
When the deal is completed, Bristol-Myers shareholders would own about 69% of the combined company, while Celgene shareholders would own about 31%.
Bristol-Myers develops medicines that help patients prevail over serious diseases. Summit, N.J.-based Celgene is involved in the development and commercialization of therapies for the treatment of cancer and inflammatory diseases.