Aimmune Therapeutics’ (NASDAQ:AIMT) news of an acquisition has AIMT stock soaring on Monday.
This is due to an announcement that the company entered an agreement with Nestle (OTCMKTS:NSRGY) for $2.6 billion, or $34.50 per share. The key reason for this deal is because of Palforzia, Aimmune’s drug treatment for those with peanut allergies. Palforzia also happens to be the first food allergy treatment ever. Obviously, that’s a big deal — and Nestle recognized its value.
Jayson Dallas, MD, president and CEO of Aimmune, said this about the agreement:
“The agreement with Nestlé recognizes the value created by years of commitment and dedication to our mission by the team at Aimmune. Delivering PALFORZIA, the world’s first treatment for food allergy, is a game-changing proposition in the biopharmaceutical industry and is transformative for the lives of millions of people living with potentially life-threatening peanut allergy.”
According to the release, the deal is set to close in the fourth quarter of fiscal year 2020. However, it also says, “[the deal is] pending the satisfaction of all conditions to the completion of the tender offer. Until that time, Aimmune will continue to operate as a separate and independent company.”
That said, AIMT stock is receiving a boost on the news. Shares are up 171% as of Monday afternoon.
On the date of publication, Nick Clarkson did not have (either directly or indirectly) any positions in the securities mentioned in this article.
Nick is a web editor at InvestorPlace.
