Seagen Inc. is a biotechnology company working on antibody-based therapies for the treatment of cancer. The valuation of this company is around $30 billion USD.
Last year news came that Seagen could be acquired by Merck and if this deal had happened, it could have been worth USD 40 billion or more. But the deal could not happen between the two companies as both the parties failed to reach an agreement.
According to a report in The Wall Street Journal, Pfizer is showing interest in buying Seagen. According to this report, if this deal happens then it can be worth 30 billion USD or more. Although if this deal happens, it will be a very big deal, but many obstacles can come in front of it.
Last year Pfizer has also acquired two big companies. First, Global Blood Therapeutics Inc. The acquisition was worth more than USD 5 billion and in addition Pfizer acquired Biohaven Pharmaceutical Holdings Co. was acquired for over USD 10 billion.
Seagen, of Bothell, Wash., has been a pioneer of a type of treatment for cancer called antibody-based drug conjugates. This functions as a missile that is guided in that targets tumors with toxic substances.
The treatments have received approval for certain cancers, such as Hodgkin’s disease and other lymphomas and in recent times, have shown potential in conjunction with an immunotherapy against different types of cancers including a particular form of breast cancer.
The possibilities of breast cancer may be especially attractive to Pfizer with its most popular drug, called Ibrance which treats the disease.
According to the Biospace report, the size of the global cancer therapeutics market in 2021 was approximately USD 166.5 billion and by 2029 this market will be USD 335.06 billion. That is, a CAGR of about 9.1%. Seeing this kind of growth, different drug making companies will get attracted towards it and will definitely try to add this number to their balance sheet.
Now it remains to be seen whether this deal gets finalized or not. If this happens, then a company like Pfizer can be successful in making a huge place in the cancer drug market.