Merck has entered into a definitive agreement to acquire Silence Therapeutics in an all-cash transaction that values the biotechnology company at approximately $1.3 billion on an equity basis and $1.1 billion on an enterprise value basis.
Under the agreement, Merck KGaA will acquire all outstanding ordinary shares of Silence Therapeutics. Silence shareholders will receive $20.00 in cash for each American Depositary Share, with each ADS representing three ordinary shares, equivalent to approximately $6.6667 per ordinary share.
The purchase price represents a 130% premium to Silence Therapeutics’ ADS closing price on October 16, 2026, and an 82% premium to the company’s 30-day volume-weighted average price of $10.99.
Silence Therapeutics develops precision-engineered medicines using proprietary small interfering RNA, or siRNA, technology. The acquisition follows Phase 2 data for Divesiran in polycythemia vera, which Silence has described as potentially best-in-class.
The company believes Merck KGaA’s scale, resources, and commercial capabilities could support Divesiran as the program advances toward Phase 3 development. The acquisition will also give Merck KGaA access to Silence’s broader differentiated siRNA pipeline and development capabilities.
For Merck KGaA, the proposed transaction advances its strategy of expanding in targeted specialty and rare diseases while using external innovation and acquisitions to strengthen its pharmaceutical pipeline. The company pointed to its acquisition of SpringWorks Therapeutics in 2025 as another step in moving its portfolio toward highly specialized therapeutic areas with significant unmet medical needs.
The transaction will be implemented through a U.K. scheme of arrangement under Part 26 of the UK Companies Act 2006. It is expected to close during the first quarter of 2027, subject to approval by Silence shareholders, sanction by the High Court of Justice of England and Wales, regulatory approvals, and other customary closing conditions.
Silence’s board unanimously approved the transaction following what the company described as a competitive sale process. Certain Silence securityholders representing approximately 14% of the company’s voting power have also entered into a voting and support agreement under which they have agreed to support the transaction.
Support: Morgan Stanley and Centerview Partners are serving as financial advisors to Silence Therapeutics. Cooley is serving as legal counsel, while Joele Frank, Wilkinson Brimmer Katcher is acting as strategic communications advisor.
KEY QUOTES:
“We are pleased to have reached this agreement with Merck KGaA, Darmstadt, Germany, which is the result of a competitive sale process and delivers significant, immediate and certain value to our shareholders. This transaction follows potentially best-in-class Phase 2 polycythemia vera data for Divesiran and reflects the important progress we have made advancing our differentiated siRNA pipeline. It also provides a new home for our innovative programs within Merck KGaA, Darmstadt, Germany, placing Divesiran with a company that has the scale, resources and commercial capabilities to accelerate its Phase 3 development and bring this potentially best-in-class siRNA therapy to patients in need. We are incredibly grateful to our employees for their dedication and contributions in building Silence into the company it is today.”
Iain Ross, Interim Principal Executive Officer And Chairman Of The Silence Therapeutics Board
“The planned acquisition of Silence Therapeutics will strengthen our capabilities to serve patients with targeted specialty and rare diseases. Following the acquisition of SpringWorks Therapeutics last year, we continue to transform our pipeline toward areas of high specialization and unmet medical need, with an ongoing commitment to external innovation. The proposed transaction follows Merck KGaA, Darmstadt, Germany’s strategic priority to address attractive end markets also through M&A, creating value over the mid- to long-term.”
Kai Beckmann, Chairman Of The Executive Board And Group CEO Of Merck KGaA, Darmstadt, Germany
