Chinook Therapeutics surges on $3.5 bln buyout deal with Novartis

Chinook Therapeutics

12/06/2023 16:16

(Updates)
    ** Shares of biotech firm Chinook Therapeutics  KDNY.O  jump
56.4% to $37.52
    ** Stock set for its highest ever one-day pct. jump, if
gains hold     
    ** Swiss drugmaker Novartis  NOVN.S  has agreed to acquire
KDNY for up to $3.5 billion at $40 per share, in cash, plus a
contingent value right worth up to $300 million, depending on
certain regulatory achievements - NOVN
    ** The upfront payment represents a premium of 66.7% to
Chinook's closing price on Friday
    ** The transaction is expected to close in the second half
of 2023 - NOVN
    ** Up to last close, KDNY shares down 8.4% 

 (Reporting by Mariam Sunny in Bengaluru)
 ((Mariam.ESunny@thomsonreuters.com;))