German pharma giant Merck to acquire US biotech firm SpringWorks in $3.9B deal
A view of the Merck KGaA headquarters in Darmstadt, Germany, showing the main building and visitor reception area on November 10, 2021. (Adobe Stock Photo)
Germany’s Merck Group has agreed to acquire U.S.-based biotechnology company SpringWorks Therapeutics for $3.9 billion to enhance its cancer treatment portfolio with innovative therapies and expand its presence in the U.S. market, the company announced on Monday.
This move comes shortly after U.S. President Donald Trump instructed the Department of Commerce to investigate the pharmaceutical and semiconductor industries, raising the prospect of new tariffs targeting these sectors.
SpringWorks Therapeutics, headquartered in Connecticut, accepted Merck’s offer of $47 per share in cash, representing a 26% premium over its 20-day average share price prior to Feb. 7, 2025, when news of the potential acquisition first emerged.
Focus on rare cancer treatments
Merck said the acquisition would bolster its health care division’s focus on treatments for rare tumors and expand access to SpringWorks’ innovative therapies for patients worldwide. The company emphasized that the deal aligns with its broader strategy to enhance its presence in key markets and accelerate growth in specialized healthcare segments.
The transaction is expected to be completed in the second half of 2025, subject to regulatory approvals.
Merck Group CEO Belen Garijo described the acquisition as a significant milestone in the company’s strategy to build a globally diversified innovation and technology leader. She noted that the addition of SpringWorks would sharpen Merck’s focus on rare oncology treatments, drive business growth, and strengthen its operations in the U.S. market.
Garijo also indicated that Merck would continue pursuing mergers and acquisitions across its three business sectors, guided by strategic alignment, financial resilience, and long-term value creation.
Founded in 1668, the Merck Group is one of the world’s oldest pharmaceutical companies, employing approximately 60,000 people and operating in 66 countries.
