Here's Why Shares of Arcellx Are Up Almost 80% Today

ETHReserveBank · 2026-02-24T18:44:58+00:00

Arcellx shares surged nearly 80% after announcing a $7.8 billion acquisition by Gilead Sciences at $115 per share. This M&A deal highlights the potential for rapid investor gains and the importance of advancing treatments for multiple myeloma.

ETHReserveBank

2026-02-24 18:44:58

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Key Takeaways

Shares of biotech Arcellx vaulted higher Monday, lifted by news that it agreed to be acquired by Gilead.
Monday’s jump, of about 80%, in Arcellx shares brought them to new highs, exceeding their late-2024 record levels.

Shares of a biotech firm are jumping on a down day for stocks.

Arcellx (ACLX) stock skyrocketed some 77% Monday after the company agreed to be bought by Gilead Sciences (GILD) for $115 per share in cash and one contingent value right of $5 per share, or $7.8 billion. Arcellx shares, which closed Friday at $64.11, recently traded around $114. They had been little changed over the past 12 months.

Why This Matters to Investors

The timeline for drug development can be gradual, at times making the payoff for smaller-company investors a painstaking wait. M&A activity can accelerate things, bringing quick gains when a larger pharma firm acquires a smaller one.

Shares of Gilead were recently down about 1%. Read Investopedia’s full coverage of today’s trading here.

Arcellx and Kite, a Gilead company, were already collaborating to develop and commercialize Arcellx’s anitocabtagene autoleucel, or anito-cel, a treatment for patients with multiple myeloma, a cancer that forms in white blood cells.

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"This agreement reflects our conviction in the potential of anito-cel and our intention to move with speed so we can make the most of that potential for patients with multiple myeloma,” Gilead CEO Daniel O’Day said. “Beyond the potential launch this year, anito-cel could become a foundational treatment for multiple myeloma over time, including earlier lines of therapy.”

The companies expect the deal to close in the second quarter.

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