07:00 AM EDT, 10/14/2024 (MT Newswires) -- Longboard Pharmaceuticals ( LBPH ) and H. Lundbeck said Monday that they signed an agreement for Lundbeck to acquire Longboard in a transaction with $2.6 billion in equity value.

Under the deal, Lundbeck will launch a tender offer for $60 in cash per share for all outstanding Longboard shares, according to the statement. The companies said the consideration represents a 77% premium to Longboard stock's 30-day volume-weighted average price as of Sept. 30.

The companies said their respective boards approved the transaction, with Lundbeck planning to fund the acquisition using existing cash and its bank financing facility.

Longboard and Lundbeck expect to close the transaction in Q4, subject to the tender of at least a majority of Longboard's outstanding shares and other customary conditions.

Longboard Pharmaceuticals ( LBPH ) shares were up over 48% premarket.

Price: 57.90, Change: +19.00, Percent Change: +48.84