Merck KGaA to acquire Silence Therapeutics in all-cash deal at 130% premium, $1.1B enterprise value
What happened
Germany's Merck KGaA, Darmstadt, Germany announced on Monday, October 19, 2026 a definitive agreement to acquire Silence Therapeutics plc (Nasdaq: SLN), a London-based clinical-stage biotechnology company focused on siRNA gene-silencing therapies, in an all-cash transaction. Silence shareholders will receive $20.00 in cash per American Depositary Share (each ADS represents three ordinary shares, or $6.6667 per ordinary share). The deal carries an enterprise value of $1.1 billion and an equity value of approximately $1.3 billion. The $20 ADS price represents a 130% premium to Silence's closing ADS price on Friday, October 16, 2026, and an 82% premium to its 30-day volume-weighted average price of $10.99. Trading in Silence shares was briefly halted ahead of the announcement; when trading resumed, the U.S.-listed shares surged 125% to $19.57, while Merck KGaA's Frankfurt-listed shares fell 1.1%.
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Who’s affected
- Silence Therapeutics (SLN): acquisition target; shares surged ~125% to $19.57 after a trading halt, pacing toward the largest single-day percentage gain on record
- Merck KGaA (MKGAY/MKGAF): acquirer; Frankfurt-listed shares fell ~1.1% on the deal
- Gene-silencing/siRNA and rare-disease biotech names broadly: positive read-through as big pharma shows willingness to pay large premiums for late-clinical RNA assets