Crinetics Pharmaceuticals Inc. (NASDAQ:CRNX) is one of the 10 affordable biotech stocks to buy right now.
On July 6, Crinetics Pharmaceuticals Inc. (NASDAQ:CRNX) and Vertex Pharmaceuticals announced that both companies have agreed to a definitive agreement, according to which Vertex will acquire Crinetics Pharmaceuticals
The deal is priced at $85 a share in cash consideration, effectively valuing the acquisition at around $10 billion or $8.8 billion after accounting for the cash. Romaset/ The Boards of both companies approved the transaction unanimously, with completion projected for the third quarter of this year. Vertex plans to finance the acquisition through cash on hand and $4.5 billion in bridge financing from Bank of America and Morgan Stanley.
Following the announcement, Crinetics Pharmaceuticals Inc. (NASDAQ:CRNX) garnered a lot of attention from analysts, who shared mixed opinions and revised their models based on this acquisition. On July 7, Baird increased its target price on the stock from $62 to $85, leading to an adjusted upside of more than 102%. The firm reiterated an Outperform rating on the stock.