CELG Celgene Corporation

By Aisha Al-Muslim 

Global biopharmaceutical company Bristol-Myers Squibb Co. will acquire Celgene Corp. in a cash and stock transaction for about $74 billion.

Under the deal, Celgene shareholders will receive one Bristol-Myers Squibb share and $50 in cash for each share of Celgene, the companies announced Thursday. Celgene shareholders will also receive one tradeable Contingent Value Right for each share of Celgene. A CVR is often used when buyers and sellers can't agree on a purchase price and usually kicks in after an acquired company meets certain sales or regulatory targets.

When the deal is completed, Bristol-Myers shareholders would own about 69% of the combined company, while Celgene shareholders would own about 31%.

Bristol-Myers develops medicines that help patients prevail over serious diseases. Summit, N.J.-based Celgene is involved in the development and commercialization of therapies for the treatment of cancer and inflammatory diseases.

Write to Aisha Al-Muslim at aisha.al-muslim@wsj.com

(END) Dow Jones Newswires

January 03, 2019 07:42 ET (12:42 GMT)

Copyright (c) 2019 Dow Jones & Company, Inc.