The move reflects a broader trend as large US pharma firms actively seek biotechnologies with strong commercialization potential and meaningful clinical impact.

The acquisition is expected to close in the second quarter of the year.

Financial terms include typical regulatory and closing steps for a large biotech deal, with core details disclosed for the public announcement.

Arcellx shares jumped about 78% in pre-market trading after the news.

Gilead will pay around $115 per share in cash plus a $5 per share contingent value right for Arcellx, valuing the deal at roughly $7.8 billion at closing.

The deal centers on advancing anito-cel, a program Arcellx initially developed and which Kite Pharma (Gilead’s cell therapy unit) has co-developed since 2023 under a collaboration and co-marketing agreement.

Gilead is acquiring Arcellx to take control of the investigational CAR-T therapy anito-cel for multiple myeloma, ending profit-sharing and royalty arrangements tied to the collaboration.

This transaction expands Gilead’s oncology portfolio by leveraging Arcellx’s cell-reprogramming technology to target cancer cells, with the program currently in clinical testing.

Regulatory decision in the US on Arcellx’s therapy for recurring patients is anticipated by year’s end, as part of the ongoing process.

The two companies have had a collaboration since 2022 to commercialize multiple myeloma therapies, a cancer focus in common.

The deal comes as Gilead seeks revenue growth and has pursued strategic acquisitions to strengthen its oncology pipeline.

The transaction is expected to be accretive to Gilead’s earnings per share from 2028 onward once anito-cel is approved and commercialized.