Crinetics soars on $10B acquisition by Vertex

Investing.com -- Vertex Pharmaceuticals Incorporated announced Monday it will acquire Crinetics Pharmaceuticals, Inc. for $85.00 per share in cash, representing a total equity value of approximately $10.0 billion, or approximately $8.8 billion net of estimated cash acquired.

Crinetics shares surged over 100% following the announcement. Vertex shares traded 0.5% lower.

The boards of directors of both companies approved the transaction unanimously. The deal is expected to close in the third quarter of 2026, subject to customary closing conditions, including regulatory approvals and approval by Crinetics shareholders.

Crinetics markets PALSONIFY (paltusotine), which received FDA approval in September 2025 and was recently approved by the European Medicines Agency. PALSONIFY is the first and only once-daily oral therapy for adults with acromegaly, a rare condition caused by a pituitary tumor that secretes excess growth hormone. The disease affects an estimated 20,000 diagnosed people in the U.S.

Crinetics' pipeline includes atumelnant, a once-daily oral ACTH receptor antagonist in Phase 3 development for congenital adrenal hyperplasia (CAH). Classic CAH affects 17,000 addressable patients in the U.S. In Phase 2 studies, patients taking atumelnant achieved near normalization of excess androgen levels on physiologic replacement doses of glucocorticoids. Atumelnant was generally well tolerated with no treatment-related severe or serious adverse events to date.

"Crinetics is an excellent strategic fit for Vertex, with its focus on serious diseases in specialty markets with significant unmet need, well-understood causal human biology, and potentially best-in-class medicines that could deliver transformative benefit to patients," said Reshma Kewalramani, Chief Executive Officer and President of Vertex.

Scott Struthers, Founder and Chief Executive Officer of Crinetics Pharmaceuticals, said the partnership is "anchored by a mutual commitment to science and a shared vision for delivering innovative treatments to patient communities that have long been underserved."

Vertex stated the combined assets have the potential to deliver more than $5 billion in combined annual revenue at peak. The transaction is expected to become accretive to non-GAAP operating income in 2029.

Vertex expects to finance the acquisition using a combination of cash on hand and debt, supported by $4.5 billion of fully committed bridge financing from Bank of America, N.A. and Morgan Stanley Senior Funding, Inc.

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