Stock Markets February 23, 2026

Gilead to Buy Arcellx for $7.8 Billion; Arcellx Shares Jump Sharply

Deal gives Gilead full ownership of investigational BCMA-directed CAR T therapy anito-cel as FDA review advances

By Nina Shah ACLX GILD
Gilead to Buy Arcellx for $7.8 Billion; Arcellx Shares Jump Sharply
ACLX GILD

Gilead Sciences agreed to acquire Arcellx for $115 in cash per share plus a $5 contingent value right, an agreement that values Arcellx at about $7.8 billion. The transaction, approved by both boards and expected to close in Q2 2026 subject to customary conditions, consolidates Gilead's control of anito-cel, an investigational BCMA-directed CAR T therapy whose BLA has been accepted by the FDA with a PDUFA action date of December 23, 2026.

Key Points

  • Gilead agreed to acquire Arcellx for $115 per share in cash plus a $5 contingent value right, implying an equity value of $7.8 billion.
  • The deal grants Gilead full control of anito-cel, eliminating prior profit-share, milestone, and royalty arrangements and building on their existing collaboration.
  • The FDA has accepted the Biologics License Application for anito-cel with a PDUFA action date of December 23, 2026; expected closing in Q2 2026 is subject to customary conditions.

Arcellx Inc (NASDAQ:ACLX) shares surged dramatically in premarket trading after Gilead Sciences (NASDAQ:GILD) announced an agreement to acquire the biotechnology company for $115 per share in cash plus a contingent value right (CVR) valued at $5 per share. Together the payments imply an equity value of approximately $7.8 billion.

The transaction formalizes a deeper integration of the two firms' existing collaboration on anitocabtagene autoleucel - or anito-cel - a BCMA-directed CAR T-cell therapy under development for patients with multiple myeloma. Under the terms announced, Gilead will obtain full ownership of anito-cel, removing the previous arrangements for profit-sharing, milestone payments, and royalty obligations.

The companies noted that the U.S. Food and Drug Administration has accepted the Biologics License Application for anito-cel as a fourth-line treatment for relapsed or refractory multiple myeloma. The Prescription Drug User Fee Act action date is set for December 23, 2026. The regulatory filing rests on clinical data from an initial Phase 1 study and the pivotal Phase 2 iMMagine1 trial.

Gilead said the $115 per share cash component represents a 68% premium to Arcellx's 30-day volume-weighted average share price as of February 20, 2026. The additional $5 CVR will be payable if cumulative global net sales of anito-cel reach at least $6.0 billion from launch through year-end 2029.

Both companies' boards have approved the merger, which is expected to close in the second quarter of 2026, subject to customary closing conditions including regulatory approvals. Gilead currently holds about 11.5% of Arcellx's outstanding common stock.

Gilead indicated that, contingent on FDA approval of anito-cel, the acquisition is expected to be accretive to its earnings per share beginning in 2028 and thereafter.


Context and implications

The agreement transfers complete commercial and development responsibility for anito-cel to Gilead and removes prior external economics tied to the program. For Arcellx shareholders, the combination of the upfront cash and the CVR creates a clear path to liquidity tied directly to both the regulatory timeline and commercial performance thresholds specified in the deal.

From a timeline perspective, the accepted BLA and the PDUFA action date provide a defined regulatory milestone that is explicitly tied to the transaction's projected financial accretion for Gilead in 2028, if approval is granted.

Market reaction

In response to the announcement, Arcellx shares jumped 78.3% in premarket trading. The disclosure does not specify any immediate market reaction for Gilead's shares.

Risks

  • Regulatory uncertainty - The acquisition's projected accretion to Gilead's earnings is contingent on FDA approval of anito-cel, with the action date on December 23, 2026.
  • Commercial performance contingent - The $5 CVR payment to Arcellx shareholders is dependent on achieving cumulative global net sales of at least $6.0 billion through year-end 2029, creating sales execution risk.
  • Deal closing conditions - The transaction is subject to customary closing conditions and regulatory approvals, so timing and completion are not guaranteed.

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