Bristol-Myers Squibb buying Celgene in $74 billion deal

SUMMIT, N.J. – Bristol-Myers Squibb is buying Celgene in a cash-and-stock deal valued at about $74 billion.

Shareholders of Celgene, based in Summit, New Jersey, will receive one share of the cancer-drug maker, plus $50 in cash for each share they own. They’ll also receive one tradeable contingent value right for each Celgene share, allowing the holder to receive a payment when future regulatory milestones are hit.

The combined company will have nine products with more than $1 billion each in annual sales and significant potential for growth in the core disease areas of oncology, immunology and inflammation and cardiovascular disease.

Shareholders of Bristol-Myers Squibb, based in New York City, would own about 69 percent of the company, with Celgene shareholders owning about 31 percent.

Celgene’s shares rocketed in premarket trading Thursday morning on the deal news, soaring around 32 percent to $88.80. Bristol-Myers Squibb slid about 12 percent to $46.16.