Sage Therapeutics (NASDAQ:SAGE) stock soared after the firm announced that it had received an unsolicited takeover bid from Biogen Inc (NASDAQ:BIIB, ETR:IDP).
Biogen has proposed to acquire all of Sage’s shares that it does not already own for $7.22 per share.
This price represented a 30% premium over Sage’s closing price of $5.55 on Friday.
Sage said its board of directors will “carefully review and evaluate the proposal made by Biogen to determine the course of action that it believes is in the best interest of the company and all Sage shareholders.”
It said there was no guarantee any transaction would result from Biogen’s proposal.
Biogen currently holds a 10.2% stake in Sage, amounting to approximately 6.24 million shares.
Shares of Sage traded up 36.5% at $7.58 late morning on Monday.
The biopharmaceutical firm is focused on developing innovative therapies aimed at improving brain health, particularly in treating conditions like postpartum depression and other central nervous system disorders.