Eight-year-run for Pfizer spinout Springworks culminates in Merck KGaA buyout

The takeout of Springworks by Merck KGaA will fortify the German company’s oncology business with a pair of approved drugs for rare tumors, while also expanding its presence in the U.S.

After months of rumors that a deal could be on the way, Merck KGaA (Xetra:MRK) said Monday it would pay $47 per share for Springworks Therapeutics Inc. (NASDAQ:SWTX), giving the New York-based biotech an equity value of $3.9 billion. The deal premium was small based on Friday’s close of $44.72; the price is still 17% higher than Springworks’ close at $40.28 on Feb. 7, before published reports suggested an acquisition could come soon, although that figure is toward the low end among other billion-dollar takeout premiums...