ImmunoGen downgraded to Neutral from Overweight at Piper Sandler

Piper Sandler analyst Joseph Catanzaro downgraded ImmunoGen (IMGN) to Neutral from Overweight with a price target of $31, up from $24. Last week, AbbVie (ABBV) announced that it will acquire ImmunoGen for $31.26/share, with deal closure expected in mid-2024. This allows AbbVie to take another step into the ADC landscape, where it has spent considerable efforts, but this time a deal that brings an approved product and validated platform, the firm says. For ImmunoGen, Piper thinks the deal comes at a great price and at the ideal time as it heads into 2024 with questions around when the Elahere launch might hit a ceiling given its robust uptake. Overall, this represents yet another ADC deal with large pharma now the predominant player in this space, says the firm.