Oct 30, 2017

Novartis spends $3.9 billion on cancer drug maker

Novartis' deal for AAA was rumored in September. Photo: Rafiq Maqbool / AP

Pharmaceutical giant Novartis is acquiring Advanced Accelerator Applications, a company that makes cancer drugs with radioactive elements, for $3.9 billion. Bloomberg hinted that a deal was possible in September.

Why it matters: Drug companies want to build out their pipeline of cancer products, giving the disease's wide impact and the lucrative returns for drugs that extend patients' lives. Novartis' deal is another iteration, with the spin of focusing on a company that develops drug through unique technology.

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