Pfizer Agrees to Buy Seagen for $43 Billion

The New York drugmaker would pay $229 a share in cash

Pfizer Inc. has agreed to pay $43 billion for biotech Seagen Inc. and its pioneering class of targeted cancer drugs.

Under the terms, Pfizer would pay $229 a share cash, the drugmaker said Monday. The companies expect the deal to close late this year or early next year.

Seagen, which is based outside Seattle, helped pioneer a class of drugs known as antibody drug conjugates that can home in on tumors to strike them with a toxic agent.

Pfizer, of New York, has been looking for acquisitions to help it offset losses in sales expected as some top-selling drugs lose patent protection in the next several years.

“Oncology continues to be the largest growth driver in global medicine, and this acquisition will enhance Pfizer’s position in this important space and contribute meaningfully to the achievement of Pfizer’s near- and long-term financial goals,” Chief Executive Albert Bourla said.

Seagen, which expects $2.2 billion in revenue this year, could bring Pfizer $10 billion in revenues by 2030, Pfizer said.

“The proposed combination with Pfizer is the right next step for Seagen to further its strategy,” said Seagen Chief Executive David Epstein.