CELG Celgene Corporation

   By Colin Kellaher 
 

Bristol-Myers Squibb Co.'s (BMY) deal to buy Celgene Corp. (CELG) values the biopharmaceutical company at a 53.7% premium based on Wednesday's closing prices, but Celgene shares are up only 33% premarket after a drop in Bristol's share price.

Bristol-Myers said it will issue one share and $50 cash for each Celgene share, for a value of $102.43 a share based on Bristol's Wednesday's closing price of $52.43.

Shares of Bristol-Myers were recently down 12.9% to $45.65 in premarket trading, and shares of Celgene, which closed Wednesday at $66.64, were up 33.2% to $88.73.

Celgene holders will own 31% of the combined company when the deal closes.

Write to Colin Kellaher at colin.kellaher@wsj.com

(END) Dow Jones Newswires

January 03, 2019 08:27 ET (13:27 GMT)

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