Bristol-Myers Squibb plans to acquire cancer drugmaker Celgene for $74 billion in cash and stock — one of the largest deals in pharmaceutical history.
Together, the company would have nine products with more than $1 billion in annual sales, including two top-selling cancer drugs. In the first nine months of 2018, Celgene's myeloma drug Revlimid had $7.1 billion in sales, and Bristol-Myers' lung-cancer treatment Opdivo had $4.9 billion in sales, according to The Wall Street Journal.
The drugmakers said that their combined pipeline includes six near-term product launches, which could generate more than $15 billion in revenue.
Under the deal, which still needs approval, Celgene shareholders will receive one Bristol-Myers share and $50 in cash for each Celgene share. If the deal is finalized, Bristol-Myers shareholders would own about 69 percent of the company, and Celgene shareholders would own about 31 percent.
"Together with Celgene, we are creating an innovative biopharma leader, with leading franchises and a deep and broad pipeline that will drive sustainable growth and deliver new options for patients across a range of serious diseases," said Bristol-Myers Squibb Chairman and CEO Giovanni Caforio.
The deal is a boon for Celgene, which was set to lose patent protection on its top-selling cancer drug in 2022.