Gilead Sciences Acquires Myogen

Myogen Inc (MYOG) announced today that the company has agreed to merge with biopharmaceutical company Giliead Sciences (GILD) for a premium of 50% to its current market cap.

The merger, anticipated to be completed in two phases, will be worth $2.5 billion. That would equal $52.50 a share. Shares of Myogen closed Friday's trading session at $35.08.

The deal is expected to be accretive to Gilead's bottom line by 2010.

Gilead is principally interested in Myogen's Ambrisentan for pulmonary arterial hypertension, which has already been tested through two phase 3 trials. Both companies are expecting a New Drug Application (NDA) to be filed with the FDA by end of 2006 or early 2007.

Myogen also boasts a few other drugs, including Flolan which is being marketed for the long-term treatment of primary pulmonary hypertension, and Darusentan which is in phase 3 trial for the treatment of resistant hypertension.

It seems Gilead has made another great move as Myogen has almost $200 million in cash, no debt, and an impressive line-up of drug candidates.

_