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AstraZeneca in talks to buy Bristol Myers Squibb in near-$400bn deal

A potential tie-up would combine two oncology-heavy portfolios, with investors reacting by sending AstraZeneca shares down more than 7% in London and Bristol Myers Squibb shares up 8% in New York premarket.

Reported · Written up by our desk · M&A & Deals

AstraZeneca is understood to be holding discussions with US cancer drug developer Bristol Myers Squibb about a deal valued at near $400bn, according to the Guardian Business, citing initial reporting by the Financial Times.

A tie-up would create a pharmaceutical group worth close to $400bn, which would rank as the world’s fourth-largest drugmaker by market value. AstraZeneca, the UK’s second-biggest listed company, is valued at nearly £196bn, while BMS is worth $133bn.

The reports triggered sharp market moves. AstraZeneca’s FTSE 100-listed shares fell more than 7% to a low of £116.46 in early London trading, while BMS shares rose 8% in New York premarket trading.

The Guardian Business also noted that a deal could deepen AstraZeneca’s presence in the US, where it is investing $50bn in research and manufacturing by 2030. Analysts flagged likely regulatory scrutiny because of overlap in the companies’ oncology portfolios.

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