Ireland-based Shire has agreed to acquire biotech firm NPS Pharmaceuticals for US$5.2 billion ($6.2 billion) in cash.
The offer of $46 a share is a 9.8% premium to U.S.-based NPS Pharma’s closing price on Friday.
Shire says the deal will strengthen its focus on rare diseases.
“The acquisition of NPS Pharma is a significant step in advancing Shire’s strategy to become a leading biotechnology company,” says Shire CEO Flemming Ornskov.
NPS Pharma’s Gattex injection is approved in the United States and Europe to treat adults with short bowel syndrome. The company is also developing a treatment for the treatment of hypoparathyroidism, which is awaiting approval from the U.S. Food and Drug Administration.
The acquisition is Shire’s first since AbbVie dropped its takeover offer for Shire late last year.
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