Novartis has agreed to acquire Chinook Therapeutics for as much as $3.5 billion, taking a chance that a pair of kidney disease drugs the biotechnology company has developed will succeed in late-stage testing.
Under the deal announced Monday, Novartis will acquire Chinook for $40 per share, equivalent to approximately $3.2 billion. The Swiss company could hand Chinook stockholders another $4 per share, or $300 million in aggregate, if one of Chinook’s drugs achieves certain regulatory milestones.
