Gilead to acquire Pharmasset for $11B

Gilead Sciences Inc. (NASDAQ:GILD) will acquire HCV company Pharmasset Inc. (NASDAQ:VRUS) for $137 per share in cash. The price is an 89% premium to Pharmasset's close of $72.67 on Friday, before the deal was announced, and values Pharmasset at about $11 billion.

Pharmasset's PSI-7977 is in Phase III testing in combination with ribavirin to treat HCV genotype 2 and 3 infection. PSI-7977 is a nucleotide analog HCV NS5B polymerase inhibitor. Gilead also will gain two compounds in Phase IIb testing: PSI-938; and mericitabine, which is licensed to Roche (SIX:ROG; OTCQX:RHHBY). Gilead's HCV portfolio includes an oral, interferon-free regimen in Phase II trials (see BioCentury, Nov. 14). ...