Japan's Ono Pharma says $2.4 bln Deciphera purchase 'first step' for global expansion
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 30 2024
0mins
Source: Yahoo Finance
Ono Pharma's Acquisition of Deciphera Pharmaceuticals:
- Ono Pharmaceutical Co announced a $2.4 billion takeover of Deciphera Pharmaceuticals as a strategic move to expand in the U.S. and European markets.
- This acquisition is part of Ono Pharma's strategy to replenish its drug pipelines and accelerate sales growth globally.
Key Quotes from Ono Pharma CEO:
- Ono Pharma CEO Gyo Sagara highlighted the importance of acquiring external pipelines to boost sales and indicated openness to further acquisitions in the future.
Context of Ono Pharma:
- Ono Pharma is recognized for its cancer drug Opdivo, which faces patent expiration in major markets by 2028.
- The acquisition includes Deciphera's oral drug Qinlock for gastrointestinal cancer treatment and Vimseltinib for joint tumor therapy.
Financial Details:
- Ono Pharma offered $25.60 per share in cash, representing a premium of 74.7% to Deciphera's previous closing price.
- The combined peak global sales expectation for Qinlock and Vimseltinib is projected at $1 billion.
Market Reaction:
- Following the announcement, Ono Pharma shares declined by 1%, while Deciphera shares surged by 73%.
Analyst Views on BMY
Wall Street analysts forecast BMY stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for BMY is 55.86 USD with a low forecast of 37.00 USD and a high forecast of 68.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
20 Analyst Rating
8 Buy
11 Hold
1 Sell
Moderate Buy
Current: 54.940
Low
37.00
Averages
55.86
High
68.00
Current: 54.940
Low
37.00
Averages
55.86
High
68.00
About BMY
Bristol-Myers Squibb Company is a global biopharmaceutical company. It is engaged in the discovery, development and delivery of transformational medicines for patients facing serious diseases in areas: oncology, hematology, immunology, cardiovascular, neuroscience and other areas. Its growth portfolio includes Opdivo (nivolumab), Opdivo Qvantig (nivolumab and hyaluronidase-nvhy), Yervoy (ipilimumab), Reblozyl (luspatercept-aamt), Opdualag (nivolumab and relatlimab-rmbw), Breyanzi (lisocabtagene maraleucel), Camzyos (mavacamten), Zeposia (ozanimod), Abecma (idecabtagene vicleucel), and Sotyktu (deucravacitinib). Its other growth products include Onureg, Inrebic, and Empliciti. Its legacy portfolio includes Eliquis (apixaban), Revlimid (lenalidomide), Pomalyst/Imnovid (pomalidomide), Sprycel (dasatinib), and Abraxane (paclitaxel albumin-bound particles for injectable suspension). Opdivo (nivolumab) is a fully human monoclonal antibody that binds to the PD-1 on T and NKT cells.
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.
