Landon Capital

AbbVie Inc. (NYSE: ABBV) and Cerevel Therapeutics Holdings Inc (NASDAQ: CERE) made headlines on Wednesday with their definitive agreement, marking AbbVie’s acquisition of Cerevel and its impressive neuroscience pipeline. This move significantly bolsters AbbVie’s standing in neuroscience, introducing a rich variety of clinical-stage and preclinical assets poised to potentially redefine treatment norms for psychiatric and neurological disorders, a game-changer for patients with unmet needs.

The agreement outlines AbbVie’s acquisition of all outstanding Cerevel shares at $45.00 per share in cash, valuing Cerevel at approximately $8.7 billion in total equity. Both boards of directors have given their nod to this deal, expected to close by mid-2024, pending approval from Cerevel’s shareholders, regulatory nods, and the fulfillment of other customary closing conditions.

The market reacted swiftly to the announcement, with ABBV shares closing trading on Wednesday up by 1.25%. Meanwhile, CERE shares surged 3.77% during regular trading hours, and post-market, they spiked by an additional 15.73%, reflecting the significant enthusiasm and confidence in this acquisition.