Overview
- The Wall Street Journal reported that AstraZeneca offered roughly $10 billion, or about $124 a share, for Rhythm, but both companies have declined to confirm the proposal.
- Following the report, Rhythm’s stock jumped about 28% to just over $110, valuing the company near $7.6 billion.
- Market pricing leaves a roughly 13% gap between Rhythm’s close and the reported offer price, which investors interpret as a sign that a deal on those terms is uncertain.
- Rhythm specializes in treatments for rare forms of obesity tied to the MC4R pathway and already has an approved therapy for acquired hypothalamic obesity, making it a strategic fit with AstraZeneca’s rare-disease unit.
- A completed deal would add to AstraZeneca’s recent obesity licensing and rare-disease moves and could signal more dealmaking as the company seeks to meet its growth goal by buying external innovation.