After Bristol Myers (BMY) announced an agreement to acquire RayzeBio (RYZB) for an implied transaction cost of about $3.6B net of estimated cash acquired, Morgan Stanley analyst Terence Flynn said the firm views the acquisition as an “incremental positive” for Bristol, similar to the recently announced Karuna Therapeutics (KRTX) deal. The new deal brings another late-stage asset into the company’s oncology portfolio, as well as a new platform technology, notes the analyst, who has previously highlighted Bristol as having one of the larger loss-of-exclusivity exposures in U.S. biopharma and in need of additional revenue to drive growth. The firm maintains an Underweight rating and $42 price target on Bristol Myers shares.
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