Trillium nearly triples on news of $2.26 billion acquisition

Shares of Canadian immuno-oncology drug developer Trillium Therapeutics (Nasdaq/TSX: TRIL) skyrocketed 193% to $17.8 pre-market today, after it was revealed that its board has accepted a takeover bid from US pharma giant Pfizer (NYSE: PFE), which last year invested $25 million into the group.

Under the terms of the agreement, Pfizer will acquire all outstanding shares of Trillium not already owned by Pfizer for an implied equity value of $2.26 billion, or $18.50 per share, in cash. This represents a 118% premium to the 60-day weighted average price for Trillium.

This is the second acquisition for Pfizer this year, following its takeover of Amplyx Pharmaceuticals in order to expand its anti-infectives pipeline.

Trillium’s portfolio includes biologics that are designed to enhance the ability of patients’ innate immune system to detect and destroy cancer cells. Its two lead molecules, TTI-622 and TTI-621, block the signal-regulatory protein α (SIRPα)–CD47 axis, which is emerging as a key immune checkpoint in hematological malignancies. TTI-622 and TTI-621 are novel, potentially best-in-class SIRPα-Fc fusion proteins that are currently in Phase Ib/II development across several indications, with a focus on hematological malignancies.