Germany's Merck KGaA in $3.9 billion deal to buy US biotech firm SpringWorks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 28 2025
0mins
Source: Reuters
Merck KGaA Acquires SpringWorks Therapeutics: Merck KGaA has agreed to purchase U.S. biotech company SpringWorks Therapeutics for $3.9 billion, aiming to enhance its cancer drug portfolio with treatments for rare tumors. The deal is expected to close in the second half of 2025, pending shareholder and regulatory approvals.
Market Reaction and Future Prospects: Despite a lower-than-expected offer price, Merck's shares rose by 1.2% following the announcement. Analysts suggest that the acquisition may attract rival bidders due to its valuation and the current uncertainties in the drug approval process influenced by recent political changes.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
