Celgene News: CELG Stock Jumps on Sale of Otezla to Amgen

CELG is moving forward with its BMY merger

Celgene news for Thursday about it selling Otezla has CELG stock on the rise.

Celgene News: CELG Stock Jumps on Sale of Otezla to Amgen
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Celgene (NASDAQ:CELG) is going to be selling Otezla to Amgen (NASDAQ:AMGN) for $13.40 billion in cash. This is part of the company’s ongoing effort to merge with Bristol-Myers Squibb (NYSE:BMY). The acquisition would benefit AAMGN with Otezla having sales of $1.6 billion in 2018.

There are still a few hurdles to jump through before the deal in this Celgene news can close. This includes Bristol-Myers Squibb entering a consent decree with the Federal Trade Commission for its merger with Celgene. That also means that this merger still needs to reach completion before the sale of Otezla can take place.

Celgene and Bristol-Myers Squibb are moving forward with their merger efforts. They still have to complete customary closing conditions. However, the merger is likely to close this year. This has Amgen expecting to complete its acquisition of Otezla in the fourth quarter of the year.

“Otezla represents an exciting opportunity to strengthen Amgen’s presence in inflammation and continue Amgen’s geographic expansion,” Robert Bradway, Chairman and CEO of Amgen, said in a statement. “We are excited about the opportunity that Otezla represents for Amgen, for our shareholders, and for patients worldwide, and we look forward to welcoming those staff members who support Otezla to the Amgen family.”

CELG stock was up 2%, AMGN stock was up 2% and BMY stock was also up 2% as of Monday afternoon.

As of this writing, William White did not hold a position in any of the aforementioned securities.

Article printed from InvestorPlace Media, https://investorplace.com/2019/08/celgene-news-has-celg-stock-up/.

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