In what will become the largest global biopharma transaction in three years, Bothell-based biotech company Seagen is set to be acquired by Pfizer for $43 billion. This is big news for the Eastside economy, as Seagen is the largest biotech company in the Pacific Northwest, employing about 3,200 people.
Last year, the company also announced it had plans to build a 270,000 square foot manufacturing facility in the area. This was after Seagen bought Cascadian Therapeutics in 2018 for $614 million. That transaction allowed Seagen to acquire a drug candidate that was eventually approved for treating breast cancer.
Seagen has been a pioneer in cancer research, developing antibody-drug conjugates that target cells using an antibody, then deliver toxins to them. Currently, Seagen has four cancer drugs on the market and is testing them on new types of tumors and for earlier use in cancer treatment. The company also has a pipeline of potentially up to 11 new cancer drugs.
Seagen’s acquisition by Pfizer would massively expand the latter’s early-stage clinical oncology pipeline. Pfizer has 24 approved cancer medications that earned $12.1 billion in 2022. By purchasing Seagen, Pfizer would double their early-stage pipeline.
In 2022, Seagen earned $2 billion in revenue, with 2023 projections set to $2.2 billion. Pfizer believes that Seagen could contribute as much as $10 billion in revenue by 2030, with continued significant growth after that.
Seagen was originally known as Seattle Genetics when it launched in 1998. When it went public in 2001, shares in the company were valued at $7 each. The new deal with Pfizer currently values the company at $229 per share.
The deal with Pfizer is expected to close in late 2023 or early 2024.
This post draws from a GeekWire article by Charlotte Schubert.
