Merck & Co Inc and Prometheus Biosciences Inc said that they had entered into a definitive agreement under which Merck, through a subsidiary, will acquire Prometheus for $200.00 per share in a $10.8 billion all-cash deal.
Prometheus is a clinical-stage biotechnology firm pioneering a precision medicine approach for the discovery, development and commercialization of novel therapeutic and companion diagnostic products for the treatment of immune-mediated diseases.
Prometheus is developing PRA023 for the treatment of immune-mediated diseases such as ulcerative colitis, Crohn’s disease as well as other autoimmune conditions.
“This agreement with Merck, a leader in biopharmaceutical research and development, allows Prometheus to maximize the potential for PRA023, while continuing to apply our technology and expertise to fuel further discoveries to address the needs of patients with immune disorders,” Mark McKenna, Chairman and Chief Executive Officer of Prometheus Biosciences, said in a press release.
“By applying a portfolio of powerful analytic tools to a comprehensive collection of IBD samples, Prometheus identified important disease insights that have now yielded a promising late-stage candidate,” Dean Y. Li, President, Merck Research Laboratories, said.
The deal is expected to be finalized during the third quarter of 2023.