Metsera (MTSR) stock rallied more than 60% in Monday’s pre-market trading on news that pharma giant Pfizer (PFE) is acquiring the weight-loss drug developer in a deal valued at up to $7.3 billion, including contingent payments. The news of a potential deal was first reported by The Financial Times. PFE stock was up nearly 2% as of writing, as the acquisition indicates the company’s focus on the massive growth opportunity in the weight-loss drug market. The acquisition is expected to be completed in the fourth quarter of 2025, subject to regulatory approvals.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Pfizer Acquires Metsera in Weight-Loss Drug Market Push
Pfizer will pay Metsera $47.50 per share in cash and an additional $22.50 per share contingent upon the achievement of certain performance milestones, bringing the total value of the deal to up to $7.3 billion. The $47.50 per share deal price represents a 42.5% premium compared to Metsera stock’s closing price of $33.32 on Friday.
This deal reflects Pfizer’s interest in the attractive anti-obesity drug market after its own experimental weight-loss pill, danuglipron, disappointed in clinical trials this year. Meanwhile, the company continues to bolster its business through strategic acquisitions. In 2023, Pfizer acquired oncology-focused biotech Seagen for $43 billion.
Metsera, which went public this year, is working on weight-loss treatments that could improve upon existing weekly anti-obesity injections (known as GLP-1s): Eli Lilly’s (LLY) Zepbound and Novo Nordisk’s (NVO) Wegovy, which have certain side effects such as muscle loss. Both Eli Lilly and Novo Nordisk have recently released clinical data for their weight-loss pills.
It is worth noting that Metsera’s lead candidate, MET-097i, an injectable, showed an average weight loss of 11.3% in patients during a Phase 2 trial.
Is MTSR Stock a Buy?
Wall Street has a Strong Buy consensus rating on Metsera stock based on four unanimous Buys. The average MTSR stock price target of $63.50 indicates 90.6% upside potential.
Is PFE Stock a Buy, Sell, or Hold?
Currently, Wall Street is sidelined on Pfizer stock, with a Hold consensus rating based on 12 Holds and three Buys. The average PFE stock price target of $28.08 indicates about 17% upside potential from current levels.
