• 23/02/2024 08:00

Johnson & Johnson to invest $2 billion to acquire Ambrx

J&J announced earlier this week that it had agreed to acquire drug development firm Ambrx Biopharma for $2 billion. Through this acquisition, according to LBLV experts, the American giant intends to gain access to new means to combat oncology that have interested other companies.

Johnson & Johnson to invest $2 billion in acquisition of Ambrx

Johnson & Johnson is ready to pay $28 for each Ambrx security, which is approximately 105% higher than their value recorded in recent trading. This company is developing innovative treatment methods belonging to the ADC class. They are described as a way to target cancer cells without affecting other tissues.

Prospects for the Ambrx acquisition

The acquisition will allow the company to become a more significant player in the field of drug manufacturers. Interest in the latter has grown significantly over the past few months, as the number of transactions in it has increased significantly.

The main drug of the acquired company is called ARX517. It is currently in early stage research in people suffering from prostate cancer. J&J said it intends to use its existing experience in treating the disease to speed up the development of a new drug. Today, among the products sold by J&J is the drug Zytiga, intended to combat prostate cancer.

Johnson & Johnson is now concentrating on increasing sales in the fields of medical equipment and pharmaceuticals, note lblv.com. Previously, it spun off its consumer segment into an independent company. The company expects that in 2025 it will have difficulties selling Stelara in the United States.

Dmitry Zolotarev, financial analyst at LBLV.

minfin.com.ua

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