Bean Capital Limited - Merck Acquired Prometheus Biosciences Inc. for $10.8 Billion

GUERNSEY, Virgin Islands, British - June 15, 2023 - PRLog -- MRK has agreed to purchase RXDX for $10.8 billion, or $200 per share, a 75% premium over RXDX's closing price on Friday. The Prometheus transaction is anticipated to conclude within the third quarter.

CEO and Chair of Prometheus Biosciences Mark McKenna said the partnership would help the company's lead product, a drug designed to treat intestinal inflammation diseases like ulcerative colitis and Crohn's disease, reach its full potential "while continuing to apply our technology and expertise to fuel further discoveries to address the needs of patients with immune disorders."

MRK's chairman and CEO Robert M. Davis believes the purchase will help the business diversify its offerings and enter new markets.

With this collaboration with Prometheus, we will be able to move more quickly into the immunology market, where there is a significant unmet patient need, Davis added.

Prometheus Biosciences Inc. (RXDX) stock jumped 70% during Monday's early trade when the news broke. Shares of Merck & Co. Inc. (MRK) fell shortly after the announcement.

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