Pfizer, the multinational pharmaceutical and biotechnology corporation, is in talks to buy the American biotechnology company Seagen. The deal is expected to be for more than $30 billion since Seagen has a market value of approximately $30 billion.
According to reports, the anticipated potential deal is to expand the pharmaceutical company’s line of effective targeted cancer medications. The talk about the acquisition is in its preliminary stage, and there is no assurance that there will be a deal.
Pfizer Is In Talks To Acquire Seagen For More Than $30 billion
Some reports state that Pfizer has been looking into taking over Seagan since last year when Seagan was in advanced negotiations to merge with Merck for about $40 billion. However, the two parties were unable to come to a deal and thus Pfizer began to consider the acquisition of Seagen this year.
If Pfizer comes up with a deal with Seagen, it would enable Pfizer with $100 billion in sales and help to add a class of drugs that have shown effectiveness when used alongside so-called immunotherapies against some of the most common cancers to its inventory of cancer treatments.
Additionally, the deal could assist Pfizer in making up the $17 billion in sales that the company expected to lose by 2030 as a result of patent expirations. Pfizer has established a target of increasing revenue by $25 billion with the expansion of the company through acquisitions, by the end of the decade. Last year, sales for Seagen came close to $2 billion.
The American multinational pharmaceutical and biotechnology company Pfizer has a lot of profit. The company is expected to have $22.7 billion from the sales of COVID-19 vaccines, drugs, and other products.
Pfizerr purchased Global Blood Therapeutics Inc., a manufacturer of sickle-cell medications, for over $5 billion in August last year. In October 2022, the rest of Biohaven Pharmaceutical Co. was purchased by Pfizer for $11.6 billion.
A type of cancer treatment known as antibody-drug conjugates, which function like a guided missile hitting tumors with toxic compounds, was pioneered by Seagen. The treatments have shown promise when combined with immunotherapy against other types of tumors, including a form of breast cancer. The treatments had previously been approved for cancers like Hodgkin’s and other lymphomas.
The mission of the American biotechnology company Seagen Inc. is to create and market new effective monoclonal antibody-based cancer treatments. The business has its headquarters based in Bothell, Washington.
Seagen is the market leader in the antibody-drug conjugate, a technique for using monoclonal antibodies capacity for targeting to deliver cell-killing substances directly to cancer cells. The goal of antibody-drug conjugates is to spare unintended cells, lessen the severe side effects of conventional chemotherapy, and maybe boost anticancer activity.
Acetris, the company’s main medicine, is commercially accessible in more than 65 countries, including the United States, Canada, Japan, and members of the European Union.
Seagen is running a large clinical development program to assess brentuximab vedotin’s therapeutic potential in early lines of its approved indications as well as in a variety of other lymphoma and non-lymphoma situations to increase the clinical options for the drug.
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The business and Takeda Pharmaceutical Company are working together to develop brentuximab vedotin. Seagen is granted complete marketing rights for brentuximab vedotin in the US and Canada. Takeda has the only authority to market the product candidate in all other nations.
In addition to brentuximab vedotin, Seagen Genetics’ product line also includes the immuno-oncology drugs SGN-LIV1A, an ADC targeting LIV-1, enfortumab vedotin, co-developed with Astellas Pharma, tisotumab vedotin, co-developed with Genmab, and several more in phase 1 studies.
In January 2018, the business announced that it will purchase Cascadian Therapeutics for $ 614 million. With both businesses developing the lead medication, ladirtuzumab vedotin, Merck & Co. announced in September 2020 that it would pay $1 billion for Seagen’s common stock.
To develop and market brentuximab vedotin, Seagen has agreements with Takeda Oncology Company. In addition, the business has ADC co-development agreements with Agensys Inc., an Astella Pharma affiliate, and Oxford BioTherapeutics Ltd.
It has agreements for its ADC technology with AbbVie, Bayer Celldex Therapeutics, IncDaiichi Sankyo, Genentech, Inc., GlaxoSmithKline, Pfizer, and PSMA Development Company LLC.
In July 2022, several reports stated that Merk & Co. was in talks to acquire Seagen and was finalizing the deal in the following months. The deal was supposed to be an estimated amount of $40 billion or more. The purchase was expected in August 2022, but the deal didn’t come out well and the Merk & Co. withdrew from the purchase in the following month.
The acquisition of Seagen by the pharmaceutical Pfizer can be expected soon as they are in the preliminary talks about the deal. If Pfizer purchases Seagen, new treatment plans for several cancers along with immunotherapies can be introduced. It also helps Pfizer to lift their sales even though they have a flush with cash.
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