GSK agreed to acquire Nuvalent, a Boston-based clinical-stage biopharmaceutical company focused on lung cancer treatments, for $10.6 billion in an all-cash deal, the company said Tuesday.
The all-cash deal, GSK's largest in more than a decade, gives the British drugmaker two late-stage lung cancer drugs under FDA review
Cristina Arias / Getty Images
GSK agreed to acquire Nuvalent, a Boston-based clinical-stage biopharmaceutical company focused on lung cancer treatments, for $10.6 billion in an all-cash deal, the company said Tuesday.
At $124 per share, the offer represents a 40% premium over what Nuvalent shares fetched at Monday's close, the company said. Investors sent Nuvalent shares up approximately 39% in premarket U.S. trading, while GSK shares dropped more than 3% on the London Stock Exchange.
The acquisition is GSK's largest in more than a decade, according to CNBC. Through the transaction, GSK would gain three non-small cell lung cancer programs in total. Regulatory decisions from the FDA on the two frontrunners — zidesamtinib, which targets ROS1 mutations, and neladalkib, an ALK inhibitor — are anticipated on Sept. 18 and Nov. 27, 2026, respectively, according to the company. A third asset, NVL-330, is a HER2 inhibitor in phase I trials.
"The two lead products are potential best-in-class assets that could launch this year if approved by the FDA and offer significant new treatment options to patients with two forms of non-small cell lung cancer," GSK CEO Luke Miels said in a statement.
GSK's existing 2026 full-year guidance remains unchanged, and the company projects the deal will begin lifting revenue and core operating profit starting in 2027, with a positive impact on core earnings per share following in 2029. Net of cash acquired, GSK's aggregate investment is estimated at $9.4 billion. The transaction will be funded primarily from new and existing debt facilities plus cash, with no expected impact to GSK's credit rating.
For Miels, who stepped into the CEO role at the beginning of 2026 succeeding Emma Walmsley, the purchase represents a notable departure from his earlier stated approach, according to Reuters. He had signaled to investors a preference for keeping deals within a £2 billion to £4 billion range. Speaking with reporters, Miels argued the price tag was warranted given that the acquisition amounts to purchasing three distinct products through a single deal.
GSK said the deal will also accelerate its entry into lung cancer and create a platform for expansion with Ris-Rez, its B7-H3 antibody-drug conjugate currently in phase III clinical development. The company said the acquisition is expected to help strengthen core operating profit through the dolutegravir loss of exclusivity period from 2028 to 2030.
Subject to regulatory approvals, including clearance under the Hart-Scott-Rodino Act, the companies expect to finalize the transaction before the end of the third quarter of 2026.
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