Penumbra (PEN) Climbs to All-Time High on $14.5-Billion Merger

We recently published 10 Stock With Eye-Popping Gains; 5 Are on Fresh Highs. Penumbra Inc. (NYSE:PEN) was one of the top performers on Thursday.

Penumbra soared to a new all-time high on Thursday, as investors snapped up shares following announcements that it is set to be acquired by Boston Scientific Corporation for $14.5 billion.

At intra-day trading, the stock surged to its highest price of $352.15 before trimming gains to finish the session just up by 11.82 percent at $350.49 apiece.

This followed announcements from Boston Scientific that it entered into a definitive agreement to acquire Penumbra Inc. (NYSE:PEN) at $374 apiece in a combination of cash and stock transaction.

Under the agreement, Penumbra Inc. (NYSE:PEN) shareholders have the right to choose to be paid $374 in cash or 3.8721 shares of Boston Scientific common stock for every PEN share they own.

The transaction is expected to be completed in 2026, subject to the receipt of other regulatory approvals, including shareholders, as well as the satisfaction of other customary closing conditions.

Upon closing, Penumbra Inc.’s (NYSE:PEN) Chairman and CEO Adam Elsesser, would also join Boston Scientific’s board of directors.

“Penumbra is a well-established company with an experienced, high-performing team and this acquisition offers Boston Scientific an opportunity to enter new, fast-growing segments within the vascular space,” said Boston Scientific Chairman and CEO Mike Mahoney.

“The addition of Penumbra can expand access for these novel technologies to more patients and customers around the world, further enhancing our revenue and margins over time with proven offerings that have a history of growth and innovation,” he added.

While we acknowledge the potential of PEN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.