GSK (LSE:GSK) agreed to acquire Nuvalent for $10.6 billion to add three lung‑cancer assets to its oncology pipeline.
The deal, GSK says, accelerates its entry into lung cancer, provides a platform to expand with Ris‑Rez, its B7‑H3 antibody‑drug conjugate, and targets efficacy and tolerability gaps in existing therapies.
"The two lead products are potential best‑in‑class assets that could launch this year if approved by the FDA and offer significant new treatment options to patients with two forms of non‑small cell lung cancer," said Luke Miels, Chief Executive Officer.
GSK will commence a cash tender offer of $124 per share within 10 business days, representing a 40% premium to the last close and a 26% premium to the 30‑day VWAP, with net of cash aggregate investment estimated at $9.4 billion (£7.1 billion).
Zidesamtinib and neladalkib have FDA target decision dates of 18 September and 27 November respectively, NVL‑330 is in phase I for HER2‑altered NSCLC, and the deal includes Nuvalent's preclinical portfolio.
The purchase will be funded primarily from new and existing debt facilities plus cash, with GSK saying it expects no impact to its credit rating and to maintain its 70p dividend for 2026.
GSK expects the acquisition to contribute to revenue from 2027, be accretive to sales and core operating profit in 2027 and to core EPS in 2029 inclusive of synergies and reprioritisation, and to cause low single‑digit percentage dilution to core EPS in the current year, FY 2027 and FY 2028 assuming a Q3 2026 close.
The transaction is subject to customary closing conditions, including tendering of a majority of Nuvalent's Class A shares and expiration or termination of the Hart‑Scott‑Rodino waiting period, with a second‑step merger planned to acquire any remaining shares.
GSK will also assume Nuvalent's existing revenue‑sharing arrangements, including low‑single‑digit royalties payable to Royalty Pharma and Deerfield.
