Zymeworks Acquires Theravance Biopharma for $929 Million to Expand Beyond Cancer

Zymeworks acquires Theravance Biopharma for $929 million, paying $17 per share in an all-cash deal expected to close in the second half of 2026. The acquisition marks the oncology-focused drugmaker's entry into respiratory disease, gaining access to Yupelri, an FDA-approved COPD treatment with $266.6 million in 2025 U.S. net sales. Theravance explored a sale after its experimental drug ampreloxetine failed a late-stage trial, prompting workforce restructuring.

Zymeworks acquisition of Theravance

• ▪Zymeworks will acquire Theravance Biopharma for $929 million in cash.
• ▪The acquisition is expected to close in the second half of 2026.

Strategic expansion beyond oncology

• ▪The deal marks Zymeworks' entry into the respiratory disease segment, expanding beyond its oncology focus.
• ▪The acquisition gives Zymeworks access to Yupelri, an FDA-approved once-daily nebulized treatment for chronic obstructive pulmonary disease (COPD).
• ▪Chronic obstructive pulmonary disease (COPD) is a progressive lung disease that obstructs airflow and makes breathing difficult.
• ▪Zymeworks will compete with major drugmakers including GSK, AstraZeneca, and Boehringer Ingelheim in the respiratory disease segment.

Deal financial terms

• ▪The acquisition is expected to provide near-term cash flow following the deal's close.
• ▪Zymeworks will buy all outstanding Theravance shares for $17 each, representing approximately a 3.6% discount to Theravance's closing stock price on June 26, 2026.

Theravance pipeline products

• ▪Theravance initiated a restructuring that could affect about half of its workforce following the ampreloxetine trial failure.
• ▪Zymeworks will consider monetizing acquired assets including ampreloxetine, with any proceeds from a potential ampreloxetine deal to be split 20% for Zymeworks and 80% for Theravance shareholders.
• ▪Theravance announced earlier in 2026 that it was exploring strategic alternatives, including a potential sale, after its experimental drug ampreloxetine for a rare disorder failed a late-stage trial.

Combined company assets

• ▪Yupelri's U.S. net sales were $266.6 million in 2025, up 12% from 2024.
• ▪Theravance has a 35% net profit share in Yupelri in the United States, which is marketed through a collaboration with Viatris.
• ▪Yupelri's U.S. net sales rose 7% to $62.4 million in the first quarter of 2026.

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