Merck Slashes Terns Pharmaceuticals Bid by $1 Billion Following Clinical Data Review

Merck & Co. has officially commenced a cash tender offer to acquire all outstanding shares of Terns Pharmaceuticals at a price of $53.00 per share. This follows a $1 billion reduction in the initial bid, bringing the total deal value to $6.7 billion after a comprehensive review of clinical trial data. The acquisition is projected to close in the second quarter of 2026, subject to customary regulatory approvals. A key condition for the deal's completion is the tendering of more than 50% of Terns' outstanding shares by its stockholders. This formal step underscores Merck's disciplined M&A strategy, prioritizing clinical validation and financial prudence. Market participants are now focused on the shareholder response to the formal offer within the volatile biotech sector.