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AstraZeneca pays 660% premium for gene therapy firm LogicBio

Published 10/03/2022, 08:29 AM
Updated 10/03/2022, 02:31 PM
© Reuters. FILE PHOTO: The company logo for pharmaceutical company AstraZeneca is displayed on a screen on the floor at the New York Stock Exchange, U.S., April 8, 2019. REUTERS/Brendan McDermid/File Photo
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(Reuters) - Shares of LogicBio Therapeutics skyrocketed on Monday after Britain's AstraZeneca (NASDAQ:AZN)'s said it would buy the U.S.-based gene therapy developer at a rare 660% premium for $68 million.

LoigBio's shares, which have traded below $1 since February, were up 637% at $2 before the bell, close to AstraZeneca's offer price of $2.07 per share.

© Reuters. FILE PHOTO: The company logo for pharmaceutical company AstraZeneca is displayed on a screen on the floor at the New York Stock Exchange, U.S., April 8, 2019. REUTERS/Brendan McDermid/File Photo

LogicBio is developing gene editing therapies to treat pediatric rare disease like methylmalonic acidemia, where the body cannot break down certain proteins and fats.

AstraZeneca said the deal would accelerate growth of its Alexion (NASDAQ:ALXN) unit, which it acquired for $39 billion last year, in the field of genomic medicine.

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