- Merck KGaA, Darmstadt, Germany, is set to acquire SpringWorks Therapeutics (SWTX, Financial) for $47 per share, valuing the deal at approximately $3.9 billion.
- The acquisition includes SpringWorks' FDA-approved therapies OGSIVEOĀ® and GOMEKLIā¢, enhancing Merck's rare tumor treatment portfolio.
- The transaction, expected to close in the second half of 2025, will immediately contribute to Merckās revenues and become earnings accretive by 2027.
Merck KGaA, Darmstadt, Germany, has announced a definitive agreement to acquire SpringWorks Therapeutics (SWTX) for $47 per share, an all-cash transaction valued at approximately $3.9 billion. This offer represents a 26% premium over SpringWorks' 20-day volume-weighted average price before the market speculation began. The deal provides Merck with a strategic opportunity to bolster its healthcare business, particularly in the area of rare tumors.
SpringWorks Therapeutics, a U.S.-based biopharmaceutical company, brings with it two FDA-approved therapies: OGSIVEOĀ® for adult desmoid tumors and GOMEKLIā¢, the first approved treatment for neurofibromatosis type 1-associated plexiform neurofibromas in adults and children. These therapies will enhance Merckās portfolio in the specialized rare tumor market and contribute to immediate revenue growth.
The acquisition aligns with Merck KGaA's strategy to strengthen its healthcare presence in the U.S., the world's largest pharmaceutical market. Merck plans to fund the acquisition through cash on hand and new debt, while maintaining its investment-grade credit rating. The transaction is expected to close by the second half of 2025, pending shareholder and regulatory approvals.
This strategic move is projected to be immediately accretive to Merck's revenues and is anticipated to have a positive impact on earnings per share (EPS) by 2027. The merger expands SpringWorks' therapeutic reach globally and leverages Merck's commercial infrastructure to accelerate international market access for these innovative therapies.
