Novartis to Buy US Biotech Tourmaline Bio for $1.4 Billion (3)

Novartis AG agreed to buy Tourmaline Bio Inc. in a deal valued at about $1.4 billion as the Swiss drugmaker continues to pursue bolt-on deals to boost its drug pipeline.

The company will pay $48 per share in cash for the New York-based biotech, which is developing a promising treatment to reduce systemic inflammation, a major driver of cardiovascular disease. That’s a premium of about 60% to Tourmaline Bio’s closing price of about $30 on Monday.

Tourmaline Bio stock rose as much as 57% in premarket trading on Tuesday, with the shares trading just under the offer price at $47.25. ...