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AstraZeneca Reportedly Offered About $10 Billion for Rhythm Pharmaceuticals

The reported bid, which neither company has confirmed, would strengthen AstraZeneca's obesity and rare-disease portfolio as it pushes toward an $80 billion 2030 sales target.

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.