Vertex Pharmaceuticals agrees to a $10 billion acquisition of Crinetics, sending its stock up nearly 100% on pipeline expansion potential.
Vertex Pharmaceuticals will acquire Crinetics Pharmaceuticals for $10 billion, a move aimed at expanding its endocrinology portfolio. Crinetics’ lead drug, Palsonify, treats acromegaly, while its experimental atumelnant targets congenital adrenal hyperplasia (CAH). The deal is expected to add $5 billion in peak sales to Vertex’s revenue stream.
Crinetics stock nearly doubled in early trading Tuesday, reflecting investor enthusiasm for the acquisition. Vertex, which recently reported mixed first-quarter earnings, seeks to bolster its pipeline with Crinetics’ daily oral treatments, a departure from its focus on injectable therapies.
Vertex shares dipped earlier Tuesday following a mixed quarterly report but recovered as analysts highlighted the strategic value of the acquisition. The deal underscores Vertex’s push into broader therapeutic areas beyond its core cystic fibrosis franchise.