Thursday saw a more than 11% increase in Cerevel Therapeutics Holdings (CERE) shares following AbbVie (ABBV)’s agreement to purchase the neuroscience drugmaker for around $8.7 billion.
AbbVie will purchase Cerevel for $45 per share as per the terms of the agreement. According to AbbVie, the transaction should be finished by the middle of 2024.
Adding CERE’s unique pipeline candidates to AbbVie’s neuroscience pipeline would enhance it further. These compounds are being researched for a variety of neurological and psychiatric illnesses, such as mood disorders, Parkinson’s disease (PD), and schizophrenia.
Among the important medications in AbbVie’s robust array of neurological products are Vraylar and Botox (therapeutics). AbbVie’s neuroscience medication sales reached nearly $5 billion in the first nine months.
According to a statement from AbbVie, Cerevel would bolster the company’s portfolio particularly for neurological and psychiatric conditions “where significant unmet needs remain.”
“Our existing neuroscience portfolio and our combined pipeline with Cerevel represents a significant growth opportunity well into the next decade,” said Richard Gonzalez, CEO and chairman of AbbVie, in a statement.
AbbVie has made a huge victory with the acquisition of Cerevel, which will undoubtedly have a big effect on the market for neuroscience drugs. AbbVie is well-positioned to benefit millions of patients suffering from neurological and mental illnesses by bringing Cerevel’s excellent pipeline candidates to market because to its substantial financial resources and experience in medication development.