By Chris Wack

The Medicines Co. (MDCO) shares rose 23%, to $84.00, after Novartis AG (NVS) said it was buying the company for $85 a share in an all-cash transaction

That price implies a fully diluted equity value of $9.7 billion, and represents a premium of 45% to The Medicines Co.'s closing share price of $58.65 on Nov. 18.

The company said completion of the transaction is expected in first quarter of 2020, and until that time, The Medicines Co. will continue to operate as a separate and independent company. The company expects to file regulatory submissions for inclisiran in the U.S. in the fourth quarter of 2019 and in Europe in the first quarter of 2020.

On Monday, Baird cut its price target for the company to $85 a share from $100, and Oppenheimer raised its price target to $85 to $68 a share.

Write to Chris Wack at chris.wack@wsj.com

(END) Dow Jones Newswires

November 25, 2019 09:54 ET (14:54 GMT)

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