AstraZeneca’s Bid for Rhythm Nears $10 Billion, Reaches $134 a Share
Key Facts
AstraZeneca made a non-binding offer to acquire Rhythm Pharmaceuticals valued at nearly $10 billion, according to three people familiar with the matter cited by Reuters on November 4, 2026. The proposal reaches $134 a share when milestone payments are included, the report said. That puts the offer to Rhythm shareholders in the form of a proposal contingent on milestones, rather than a final announced price for a completed deal. Reuters described Rhythm as a company developing obesity drugs, while the potential deal remained non-binding at the time of the report. This means the disclosed figures describe an initial acquisition offer, not a confirmed final agreement.
A Reuters report said The Wall Street Journal had reported earlier on Wednesday that AstraZeneca made an offer of $124 a share the previous month. That earlier proposal relates to October 2026, while the non-binding proposal later reported by Reuters reaches $134 a share with milestone payments. The difference between the two figures reflects differences in the reported terms of the proposals, with the higher figure tied to payments contingent on achieving milestones. The $10 billion figure remains an approximate estimate of the offer’s total value, according to the sources cited by Reuters. The report did not include confirmation from AstraZeneca of the deal or its rationale.
Rhythm shares reacted to news of the offer in the November 4 session, closing up 28% at $110.68, Reuters reported. The company’s market capitalization was about $7.64 billion at the close, according to the same report. The closing price came after the news was published, while the gain reflects the stock’s movement in that session specifically. These figures are not closing prices for the November 6 session; the figures reported by Reuters relate to November 4, 2026. The market valuation at the close put the company below the approximate value of the announced offer, while the proposal remained non-binding.
Reuters said the potential acquisition would be made through Alexion, AstraZeneca’s rare-disease unit. AstraZeneca acquired Alexion for $39 billion in 2021, according to the report. Under this potential arrangement, Rhythm would become part of Alexion’s rare-disease business if the deal proceeds. On Rhythm’s assets, Reuters reported that the U.S. Food and Drug Administration expanded the use of Imcivree in March for a rare form of obesity caused by brain damage. The treatment became the first approved for this condition in the United States, the report said.
Rhythm’s treatments target rare genetic forms of obesity, according to Reuters, rather than the broader weight-loss drug market. By contrast, the report cited forecasts that sales in the obesity drug market would exceed $100 billion a year over the next decade. That forecast places Rhythm’s treatments within a broader sector the report expects to grow, while the company remains focused on rare genetic conditions. The report did not say AstraZeneca had confirmed the deal or explained its rationale, and described an expanded presence in rare diseases and obesity as a potential effect of the acquisition. The proposal remains non-binding, and the report provided no later timetable for completing the deal or details on next steps.