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Photograph by David Williams/Bloomberg
Gastrointestinal drug maker
Ironwood Pharmaceuticals
said Monday it was acquiring Swiss biotech company
VectivBio
,
adding to the increasing line of biopharma acquisitions this year.
The all-cash transaction for $17 a share totals an estimated $1 billion, net of
VectivBio
’s
(ticker: VECT) cash and debt. Ironwood (IRWD) tumbled 1% in premarket trading, while VectivBio was up 40% at $16.68.
The deal helps Ironwood expand its pipeline of drugs that can advance the treatment of gastrointestinal diseases, the companies said.
Write to Karishma Vanjani at karishma.vanjani@dowjones.com