Genmab to Acquire Merus NV in $8 Billion All-Cash Deal
The acquisition, at a significant premium, aims to bolster Genmab's late-stage cancer pipeline with Merus' promising bispecific antibody therapies.
Danish biotechnology giant Genmab has announced a definitive agreement to acquire Dutch cancer drug developer Merus NV (MRUS) in an all-cash transaction valued at approximately $8 billion. The deal significantly expands Genmab's late-stage oncology pipeline and has been unanimously approved by both companies' boards of directors.
Under the terms of the agreement, Genmab will acquire all outstanding shares of Merus for $97.00 per share in cash, representing a substantial . This move signals Genmab's strong confidence in Merus' innovative portfolio of bispecific antibody therapies.
The centerpiece of the acquisition is Merus' lead asset, petosemtamab, a bispecific antibody currently in Phase 3 development for treating head and neck cancer. The therapy has already received two Breakthrough Therapy Designations from the U.S. Food and Drug Administration (FDA), highlighting its potential as a significant advancement in cancer treatment. , the acquisition is expected to accelerate Genmab's transition to a wholly-owned product model and diversify its future revenue streams.
Genmab anticipates a potential launch for petosemtamab in 2027, with peak sales projected to reach multi-billion-dollar figures in the ensuing years. The company plans to finance the acquisition through a combination of existing cash reserves and debt. The transaction is expected to close in the first quarter of 2026, pending regulatory approvals and other customary closing conditions.
Following the announcement, Wall Street analysts have adjusted their ratings for Merus, with several firms downgrading the stock to 'Neutral' or 'Market Perform' to align their price targets with the $97.00 acquisition price. , reflecting the market's new valuation based on the pending transaction. Conversely, analysts covering Genmab have reacted positively, with firms like and raising their price targets, citing the long-term growth prospects the deal unlocks.