Servier has agreed to acquire Day One Biopharmaceuticals in a $2.5 billion all-cash deal, paying $21.50 per share for the oncology-focused biotech. The offer represents a 68% premium to Day One's closing price on Thursday, reflecting strong investor interest in cancer drug developers. This acquisition marks Servier's largest purchase in recent years.

The French pharmaceutical company is expanding its oncology portfolio through this strategic move, gaining access to Day One's pipeline of cancer therapies. Day One specializes in developing targeted treatments for solid tumors, with several candidates in clinical trials. The premium price signals Servier's confidence in Day One's research capabilities and future growth potential.

This deal comes amid heightened M&A activity in the biotech sector, as larger pharmaceutical companies seek to replenish their drug pipelines. For Day One shareholders, the offer provides immediate value at a significant premium to recent trading levels. The transaction is expected to close in the coming months, subject to regulatory approvals and customary closing conditions.