German pharmaceutical and life sciences company Merck KGaA has entered into a definitive agreement to acquire UK-based biotechnology firm Silence Therapeutics in an all-cash transaction valued at approximately $1.3 billion in equity, strengthening its focus on precision medicines and rare diseases.
Under the agreement, Merck will pay $20 per American depositary share (ADS), representing a 130% premium to Silence Therapeutics’ closing share price on October 16, 2026. The transaction carries an enterprise value of approximately $1.1 billion and is expected to close in the first quarter of 2027, subject to shareholder, court and regulatory approvals.
The acquisition will give Merck access to Silence Therapeutics’ proprietary small interfering RNA (siRNA) technology, which is designed to silence specific genes involved in disease development by reducing the production of targeted proteins.
A key asset in the pipeline is divesiran, an investigational therapy being developed for polycythemia vera, a rare blood cancer characterised by excessive red blood cell production. The candidate is considered ready for Phase III development following encouraging Phase II results, according to the companies.
Divesiran targets TMPRSS6, a gene involved in iron regulation, with the aim of reducing excessive red blood cell production and addressing the treatment needs of patients with polycythemia vera. Its safety and efficacy will require further evaluation in late-stage clinical trials.
The deal follows Merck’s acquisition of SpringWorksTherapeutics in 2025 and supports its strategy of expanding into specialised treatments for diseases with significant unmet medical needs.
Silence Therapeutics also brings a broader siRNA research platform and additional investigational programmes targeting other diseases.
The acquisition is expected to strengthen Merck’s rare disease pipeline, although the transaction remains subject to regulatory and shareholder approvals. If completed as planned, it will provide Merck with additional capabilities in RNA-based drug development and expand its presence in precision medicine.
Written by: Pramit Hazra
Graphics by: Pramit Hazra
