Merck KGaA Agrees to Buy Silence Therapeutics for $1.3 Billion in Cash

Key Points

• Merck KGaA, Darmstadt, Germany, agreed to acquire Silence Therapeutics for $20 per American Depositary Share in cash.
• The offer represents a 130% premium to Silence’s October 16 closing price and an 82% premium to its 30-day volume-weighted average price.
• The transaction values Silence’s equity at approximately $1.3 billion, with an enterprise value of $1.1 billion.
• The acquisition would bring Silence’s siRNA pipeline, including its experimental blood-cancer treatment divesiran, into Merck KGaA.
• Closing is expected in the first quarter of 2027, subject to shareholder, court and regulatory approvals.

Silence Therapeutics (NASDAQ: SLN) has agreed to an all-cash acquisition by Merck KGaA, Darmstadt, Germany, following what Silence described as a competitive sale process.

Under the agreement, investors will receive $20 for each American Depositary Share, or ADS, they hold upon completion. Each ADS represents three ordinary shares, making the consideration approximately $6.6667 per ordinary share.

Cash Offer Delivers a Substantial Premium

The $20-per-ADS offer is 130% above Silence’s closing price on October 16, 2026. It is also 82% above the stock’s 30-day volume-weighted average price of $10.99.

Silence’s board unanimously approved the agreement. Securityholders representing approximately 14% of its voting power have agreed to support the transaction.

The cash payment remains conditional on the acquisition closing; shareholders will not receive it simply because the agreement has been signed.

Divesiran Adds a Rare Blood-Cancer Program to Merck’s Pipeline

A central asset is divesiran, Silence’s investigational treatment for polycythemia vera, a rare blood cancer involving excessive red blood cell production.

Divesiran uses siRNA technology to reduce the activity of a liver-expressed target called TMPRSS6. The intended effect is to increase hepcidin, a hormone that regulates iron, and limit the iron available for producing excess red blood cells.

Silence said the agreement follows encouraging Phase 2 results and would place divesiran with a company capable of supporting its Phase 3 development. The drug remains investigational; its FDA Fast Track and Orphan Drug designations are not approvals.

Shareholder, Court and Regulatory Approvals Still Required

The acquisition is expected to close in the first quarter of 2027 through a U.K. scheme of arrangement.

Completion requires Silence shareholder approval, sanction by the High Court of Justice of England and Wales, regulatory approvals and other customary conditions.

Investor Takeaway: A Fixed Cash Offer, With Closing Risk Remaining

For SLN investors, the agreement provides a defined cash price rather than shares in the acquiring company. The key milestones are the required approvals and completion of the transaction.

For Merck KGaA, the proposed acquisition expands its specialty and rare-disease pipeline. The agreement does not guarantee that divesiran or Silence’s other investigational programs will ultimately succeed.