Pfizer Pays $11.6 Billion for Drug-Maker in Its Biggest Deal Since 2016

Pfizer announced it will buy migraine drug maker Biohaven for about $11.6 billion – in cash.

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By Madeline Garfinkle • May 10, 2022

In its biggest deal since 2016, Pfizer announced on Tuesday it will buy the drug-maker Biohaven Pharmaceutical Holding for $11.6 billion, bolstering its portfolio ahead of patent losses from some cancer drugs.

The deal will give Pfizer access to Biohaven's approved drug Rimegepant, positioning it as a strong competitor in a crowded market: migraine treatments. Approved in 2020, Rimegepant treats acute migraine attacks and prevents migraine episodes — bringing in sales of $462.5 million in 2021.

This isn't the only billion-dollar deal made by Pfizer in the past year — it's just the biggest. Last year, the company bought Canadian drug developer Trillium Therapeutics for $2.26 billion and drug developer Arena Pharmaceuticals for $6.7 billion.

Related: Pfizer Stock is Ready to be Added to Your Portfolio

Although the company saw tremendous gains from its Covid-19 vaccine, Pfizer expects sales to drop from last year's highs, along with top-selling patents nearing expiration, which could account for the billions of spending on deals to maintain a strong portfolio.

"Investors will like this deal. Given Pfizer's strong balance sheet, this is still a small acquisition, and we would expect more such deals," Wells Fargo analyst Mohit Bansal said in a note.

Pfizer will acquire all the outstanding shares of Biohaven that it does not already own for $148.50 per share in cash, a 78.6% premium to Biohaven's last closing price on Monday.

Related: Buy Pfizer Before the Smart Money Catches On to the Plot

Madeline Garfinkle

Entrepreneur Staff

Editorial Assistant

Madeline Garfinkle is an Editorial Assistant at She is a graduate from Syracuse University, and received an MFA from Columbia University. 

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