After Pfizer bought Trillium Therapeutics for $2.3 billion, shares of Trillium Therapeutics shot up as high as 200% Monday.
This acquisition will increase the potential for oncology therapies targeting blood cancers.
In September last year, Pfizer invested $25 million in Trillium.
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Pfizer and Trillium Therapeutics agreed to merge, boosting the small-cap biotechnology firm by as high as 200% Monday.
Pfizer will buy the company for $18.50 per shares in cash. This makes the deal worth $2.26 trillion. Trillium shares closed Friday at $6.09
As it develops therapeutics for blood cancers, the deal will increase Pfizer's oncology/hematology portfolio. Nearly 6% of all cancer cases worldwide were diagnosed in 2020 with blood cancers.
Andy Schmeltz, Pfizer, stated that "Our deep understanding of the science behind blood cancers and the varied knowledge base we have built across our growing portfolio of eight approved or investigational therapies provide us with the foundation to bring these important potential medicines to patients when they are needed."
Pfizer originally invested $25 million into Trillium last September as part of its breakthrough expansion initiative. According to the pharma giant, Trillium's drug portfolio could boost growth from 2026 to 2030 and beyond.
Trillium is a preclinical drug company. It has 9 trials that are either enrolling patients, or entering phase I/II trials. Both companies approved the merger.
Pfizer shares rose as high as 3% Monday. However, this could be more due to the FDA's expected approval of its COVID-19 vaccine.
