Pfizer Inc (NYSE:PFE) announced on Tuesday that it will donate the rights of royalties from sales of cancer drug Bavencio to the American Association for Cancer Research (AACR) in order to address concerns from US antitrust regulators related to its pending $43-billion acquisition of Seagen Inc.
The US drug giant said it now expects to close the acquisition of Seagen on December 14, 2023, subject to the satisfaction of other customary closing conditions.
Pfizer noted the waiting period for the Federal Trade Commission (FTC) to oppose the acquisition expired on Monday.
Seagen is a pioneer of antibody-drug conjugates, which work like 'guided missiles' designed to destroy cancer while sparing healthy cells, Reuters reported.
Pfizer initially announced its deal to buy Seagen in March as the company gears up for a big fall in COVID-related sales and generic competition for some top-selling drugs, the media outlet noted.
In October, Pfizer reduced its sales guidance by $9 billion.
Shares of Pfizer slipped nearly 1% to $28.39 in early Tuesday trading and have fallen 45% year to date.