GSK Bolsters Lung Cancer Portfolio with $10.6 Billion Nuvalent Acquisition

GSK has agreed to buy Nuvalent for $10.6 billion in a move to strengthen its lung cancer treatments. This acquisition aligns with GSK CEO Luke Miel's plans to hit a £40 billion revenue target by 2031. The deal is expected to enhance GSK's sales and profits by 2027.

British pharmaceutical giant GSK has announced a $10.6 billion acquisition of U.S.-listed cancer drug developer Nuvalent, aiming to bolster its lung cancer treatment portfolio.

The acquisition, which values Nuvalent at approximately $124 per share—a 40% premium to its last closing price—reflects GSK's strategic effort to enhance its drug pipeline and prepare for the 2028 patent expiry of its HIV medicine, dolutegravir. GSK CEO Luke Miels emphasized that the deal offers significant new treatment options for lung cancer patients and will create a platform to expand with Ris-Rez, the company's experimental antibody-drug conjugate currently in late-stage testing.

According to GSK, after accounting for cash acquired, the net investment is estimated at $9.4 billion. The company expects this strategic move to contribute positively to their sales and operating profit in 2027, as well as core earnings per share in 2029.