Gilead to buy Immunomedics in $21 billion deal

(Reuters) – Gilead Sciences Inc will acquire biopharmaceutical company Immunomedics Inc for $21 billion in a deal that would further expand Gilead’s portfolio of cancer treatments, the companies said in a statement on Sunday.

The deal provides Gilead access to Immunomedics’ breast cancer treatment drug, Trodelvy, which was granted an accelerated FDA approval in April.

Gilead said it would issue a tender offer to buy all the outstanding shares of Immunomedics for $88 per share in cash.

The offer will be funded through $15 billion in cash on hand, as well about $6 billion in newly issued debt, according to the statement.

The transaction is expected to close in the fourth quarter of 2020, the companies said.

(Reporting by Ann Maria Shibu in Bengaluru; Editing by Diane Craft and Peter Cooney)