Ariad Pharmaceuticals, Inc. – Nasdaq: ARIA
Takeda Pharmaceutical Company Inc. has agreed to purchase Cambridge, MA-based Ariad Pharmaceuticals for $24 per share. Ariad’s shares, traded on the Nasdaq under ticker ARIA, closed Friday at $13.74 and shot up to an intraday high of $23.81. The $5.2 Billion deal represents a 75% premium over the Friday closing price.
ARIAD Pharmaceuticals, Inc. is focused on discovering, developing and commercializing precision therapies for patients with rare cancers. ARIAD is working on new medicines to advance the treatment of rare forms of chronic and acute leukemia, lung cancer and other rare cancers. According to its website, Takeda conducts activities according to the corporate mission to “strive towards better health for people worldwide through leading innovation in medicine.”
Alexander J. Denner, Ph.D., Chairman of the ARIAD Board of Directors, said: “This transaction is a great outcome for ARIAD shareholders and brings hope to improve the lives of many cancer patients. It has been a pleasure to work with our outstanding management team and, on behalf of the board of directors, I extend our deepest gratitude to everyone at ARIAD for their unrelenting dedication.”
Ariad Pharmaceuticals is covered by nine firms. Five gave ARIA a rating of “Strong Buy”, two rated ARIA a “Hold”, and two rated ARIA a “Sell”. Their consensus price target was $13. While ARIA has never reported a profit, it sales have done well. In 2011 Ariad Pharmaceuticals reported sales of $25.3 million but in 2015 Ariad reported sales of $118.8 million.
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|Last Price a/o 11:32 AM EST||$ 23.75|
|Average Volume||6.5 million|
|Market Cap||$2.6 Billion|
|Shares Outstanding||189.4 million|
|Share Float||187.7 million|
|Short Interest Ratio||13.45|