Onyx Pharmaceuticals Inc is close to selling itself to larger rival Amgen Inc after the cancer drugmaker's high stock price discouraged other companies from making a counter offer, according to three people familiar with the matter.
Amgen , the world's largest biotechnology company, is in advanced discussions to buy Onyx , with the two sides possibly making an possible announcement as soon as within the next week, the sources said on Wednesday.
Continue Reading Below
Terms of an agreement have yet to be finalized, but the companies are negotiating a price of $130 per share, or nearly $9.5 billion, based on shares outstanding. Onyx has indicated it would likely accept a deal at that price, the sources said.
Discussions could still fall apart, and there was no guarantee an agreement will be reached, according to the sources, who asked not to be identified because the matter is confidential.
Representatives of Amgen and Onyx declined to comment.
(Reporting by Soyoung Kim and Jessica Toonkel in New York; Editing by Jeffrey Benkoe)