The Los Angeles-based Kite Pharma company, which was established by an Israeli professor, will be sold for almost $12 billion. The deal has already been approved by the boards of both firms.
Illustration Photo Credit: Reuters/Channel 2 News
Gilead Sciences has committed to purchasing the Israeli company Kite Pharma for almost $12 billion in cash, the Wall Street Journal reported Monday. According to the agreement that was reached, Gilead will pay $180 per share.
Kite was established by Israeli professor Arie Belldegrun in 2009. The leading immunotherapy developer’s offices are located in Los Angeles. The amount of money that Gilead will pay in order to acquire Kite represents a 29% premium over the latter’s closing Friday price.
The deal, which has already been approved by the boards of directors of both companies, will give Gilead the rights to Kite’s technology, which is predicted to bring in billions of dollars in sales. The deal is expected to be finalized in the fourth quarter of the year, at around the time that the FDA is expected to test Kite’s main treatment.