DAWN Stock Jumps 66% on $2.5B Buyout Offer From Servier

Day One Biopharmaceuticals DAWN has signed a definitive agreement with France-based Servier. Per the terms, Servier will acquire all outstanding shares of DAWN at $21.50 each, valuing the deal at about $2.5 billion.

Post this acquisition, Servier will add Ojemda — Day One Biopharmaceuticals’ first marketed drug, which was granted accelerated approval by the FDA in 2024 to treat relapsed or refractory pediatric low-grade glioma (pLGG), a form of brain tumor. The drug is currently being evaluated in the pivotal phase III FIREFLY-2 study in patients with frontline pLGG, which is expected to complete enrolment in the first half of 2026.

The deal is expected to close in the second quarter. Servier anticipates funding this transaction through existing cash and investments.

DAWN Stock Price Performance

Following this news, the company's shares surged nearly 66% on Friday.

Year to date, the stock has skyrocketed 127% compared with the industry’s 4% growth.

What’s Driving Servier’s Interest in DAWN?

The motivation behind the deal seems clear — the acquisition will support Servier’s 2030 ambition to develop innovative treatments across oncology, cardiometabolism, neuroscience and immuno-inflammation indications. Last month, Day One Pharmaceuticals reported Ojemda sales of $155.4 million for the full year 2025, up 172% year over year. Based on the encouraging sales potential, it guided the drug’s 2026 sales between $225 million and $250 million.

Apart from Ojemda, the DAWN acquisition will expand Servier’s oncology portfolio with two antibody drug conjugate (ADC) candidates, emiltatug ledadotin (emi-le) and DAY301. Both these therapies are being evaluated in separate early-stage studies, with data readouts expected later this year.

The DAWN acquisition adds to Servier’s list of deals in the oncology space over the last few years. Last year, it signed a global licensing deal with Black Diamond Therapeutics BDTX for the latter’s BDTX-4933, an investigational therapy targeting RAF and RAS alterations in solid tumors. In September 2025, Servier signed a similar deal with Ideaya Biosciences IDYA for the latter’s experimental rare eye cancer treatment, darovasertib.

Day One Biopharmaceuticals, Inc. Price

 

Day One Biopharmaceuticals, Inc. price | Day One Biopharmaceuticals, Inc. Quote

DAWN Zacks Rank

Day One Biopharmaceuticals currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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