ChemoCentryx (NASDAQ:CCXI) stock is rocketing higher on Thursday as investors react to news of an acquisition deal with Amgen (NASDAQ:AMGN). This agreement has Amgen agreeing to acquire ChemoCentryx for $3.7 billion in cash, or $52 per share of CCXI stock. That represents an almost 116% premium over the CCXI closing price on Wednesday.
The Boards of Directors at ChemoCentryx and Amgen have already both given their unanimous support to the deal. Now, the companies just need to complete customary closing conditions and get approval from regulators and shareholders. If all goes well, the acquisition will close in the fourth quarter of 2022.
Amgen CEO Robert Bradway said the following about the deal:
“The acquisition of ChemoCentryx represents a compelling opportunity for Amgen to add to our decades-long leadership in inflammation and nephrology with TAVNEOS, a transformative, first-in-class treatment for ANCA-associated vasculitis […] We are excited to join in the TAVNEOS launch and help many more patients with this serious and sometimes life-threatening disease for which there remains significant unmet medical need.”
TAVNEOS is an “orally administered selective complement component 5a receptor inhibitor.” It’s designed to treat patients suffering from severe active ANCA-associated vasculitis. The U.S. Food and Drug Administration (FDA) approved the oral drug in October 2021.
CCXI stock is experiencing heavy trading today thanks to the acquisition news. That has over 24 million shares on the move as of this writing. This is well above the stock’s daily average trading volume of about 1.3 million shares.
CCXI stock is up 110% as of Thursday morning.
There’s more stock market news for traders to dive into below!
We’ve got all of the hottest stock news traders need to know about for Thursday! That includes what’s happening with shares of Quoin Pharmaceuticals (NASDAQ:QNRX), Coinbase (NASDAQ:COIN) and MercadoLibre (NASDAQ:MELI) stock today. You can find out more at the following links!
More Thursday Stock Market News
- What Is Going on With Quoin Pharmaceuticals (QNRX) Stock?
- COIN Stock Alert: 5 Things to Know as BlackRock Teams Up With Coinbase
- MercadoLibre (MELI) Stock Gains on Strong Results
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.