Metsera (MTSR) stock toppled Monday after the buyout battle with Pfizer (PFE) and Novo Nordisk (NVO) ended. Pfizer will acquire the small obesity-focused biotech company for up to $10 billion.
That’s up from a total of $4.9 billion when Pfizer first announced its plan to acquire Metsera. Shortly after that, Novo unexpected stepped in and upped the ante. The final bid, affirmed late Friday, values Metsera at $65.60 per share in cash and a contingent value right worth up to $20.65 a share.
In a release announcing the decision, Metsera acknowledged Pfizer’s acquisition was the most likely to close without any antitrust risk from the Federal Trade Commission. Metsera’s lead asset is a GLP-1-mimicking shot, similar to Novo’s Wegovy. However, it could prove to be a monthly dose vs. the weekly Wegovy shots.
“Metsera remains committed to the merger with Pfizer, which Metsera believes will deliver immediate and substantial value to Metsera stockholders, and the parties expect to close promptly following the stockholder meeting on Nov. 13,” the company said in a news release.
In premarket action on the stock market today, Metsera stock tumbled more than 15% to 70.43. Pfizer stock rose more than 1% to 24.72. Novo also edged higher by 1%.
Metsera Stock Skyrockets From IPO
The fracas to buy Metsera kicked off on Oct. 30 when Novo made an unsolicited bid for $6.5 billion. Pfizer later pushed that to $8.1 billion before Novo batted back with a $10 billion bid. Last week, Pfizer agreed to match that.
Metsera stock spiked as high at 83.86 after its initial public offering in January at 18.
For Pfizer, Metsera represents a means of jumping the line in obesity treatment. Pfizer has had several setbacks with experimental drugs that caused liver enzyme side effects. The company has a drug in Phase 1 testing.
Metsera, on the other hand, is in midstage testing with a GLP-1-targeting drug. It also has two potential monthly combinations with GLP-1 and amylin-tied drugs. Amylin is another hormone that could have an impact on blood sugar and hunger signals. The company also has a GLP-1 pill.
Follow Allison Gatlin on X/Twitter at @AGatlin_IBD.
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