Halozyme Therapeutics, a US-based biopharmaceutical company, has made headlines with its proposal to acquire German drug developer Evotec for approximately €2 billion ($2.1 billion). The offer, which values Evotec at €11 per share, represents a significant premium of 27.5% over Evotec's last closing price. This strategic move is aimed at bolstering Halozyme's drug discovery and development portfolio, potentially diversifying and extending its revenue and EBITDA growth well into the next decade.

The announcement has stirred the market, with Evotec's shares rising by 6.3% in US trading, while Halozyme's shares saw a decline of 5.1% in aftermarket trading. The proposed acquisition comes amidst reports that private equity firm Triton is also exploring a potential buyout of Evotec, having recently increased its stake in the company to nearly 10%.

Evotec, which has faced a challenging year with its shares dropping about 60% due to a slump in revenues, collaborates with biotech companies through research alliances and partnerships. The acquisition by Halozyme could provide a much-needed boost, integrating Evotec's drug discovery platform and biologics manufacturing capabilities with Halozyme's ENHANZE® technology.

Halozyme's CEO, Helen Torley, expressed optimism about the potential merger, highlighting the opportunity to create a global innovative services company. The merger would not only diversify Halozyme's offerings but also enhance its position as a strategic partner in the biopharma industry.

The proposal is still in its early stages, and while it is non-binding, it underscores Halozyme's commitment to expanding its capabilities and market presence. The acquisition, if successful, would mark a significant step in Halozyme's strategic expansion into biologics manufacturing and drug discovery platforms.