Novartis To Acquire Chinook Therapeutics For $40/Share In Cash, With The Potential To Receive Up To An Additional $4 Per Share In Cash Through Contingent Value Rights, For A Total Equity Value Of Up To Approximately $3.5B
Portfolio Pulse from Benzinga Newsdesk
Novartis plans to acquire Chinook Therapeutics for $40/share in cash, with the potential for an additional $4/share through contingent value rights, totaling up to $3.5B. The transaction is expected to be completed in H2 2023.
June 12, 2023 | 8:11 am
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NEUTRAL IMPACT
Novartis to acquire Chinook Therapeutics for up to $3.5B, with the transaction expected to be completed in H2 2023.
The acquisition announcement is directly related to Novartis, but the impact on its stock price in the short term is uncertain. The deal size is relatively small compared to Novartis' market cap, and the market may have mixed reactions to the acquisition, depending on the perceived strategic fit and potential synergies.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 100
POSITIVE IMPACT
Chinook Therapeutics to be acquired by Novartis for up to $3.5B, with the deal expected to close in H2 2023.
The acquisition announcement is directly related to Chinook Therapeutics and will likely have a positive impact on its stock price in the short term. The deal offers a significant premium to the current share price, and the potential for additional cash through contingent value rights adds further upside.
CONFIDENCE 90
IMPORTANCE 100
RELEVANCE 100