By Colin Kellaher

Novo Nordisk AS on Thursday said it agreed to buy clinical-stage biopharmaceutical company Forma Therapeutics Holdings Inc. for about $1.1 billion in a deal that expands the Danish pharmaceutical company's portfolio in sickle-cell disease and rare blood disorders.

Novo said it would pay $20 a share in cash for Forma, a 49% premium to Wednesday's closing price of $13.40 for the Watertown, Mass., company.

Forma's lead candidate, etavopivat, is in development to improve anemia and red-blood-cell health in people with sickle-cell disease, a debilitating and life-threatening group of inherited red blood cell disorders.

Novo said the acquisition, which it plans to fund from its financial reserves, bolsters its pipeline in hemoglobinopathies, a group of disorders in which there is abnormal production or structure of the hemoglobin protein in the red blood cells.

Novo said it expects to complete the acquisition by the end of the year.

Trading in Forma shares was halted premarket in Thursday.

Write to Colin Kellaher at colin.kellaher@wsj.com

(END) Dow Jones Newswires

September 01, 2022 08:37 ET (12:37 GMT)

Copyright (c) 2022 Dow Jones & Company, Inc.
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