Amgen to Acquire Cancer-Drug Developer Micromet

Biotechnology giant Amgen Inc. (NASDAQ:AMGN) is set to buy Micromet Inc. (NASDAQ:MITI) in $1.16 billion deal aimed at enhancing Amgen’s cancer-drug research-and-development pipeline, reports Peter Loftus at Market Watch. Shares of Micromet jumped 32 percent with news of the acquisition.

Micromet, based in Rockville, Md., is developing new cancer treatments including experimental leukemia and non-Hodgkins’s lymphoma drug blinatumomab, said the report. Amgen, of Thousand Oaks, Calif., will pay $11 per share cash for Micromet, a 33 percent increase on Wednesday’s closing share price for the company.

Last year, Amgen acquired another company developing a cancer immunotherapy, so the purchase of Micromet will be a “further step along the path of engineering the immune system in order to rid the body of tumor cells,” said Roger Perlmutter, Amgen’s executive vice president of Research and Development, according to Loftus. Both companies have board approval for the agreement and Amgen expects the deal to close in the first quarter.