KEY TAKEAWAYS German drug company Merck KGaA said Monday it has struck a deal to buy U.S. biotech firm SpringWorks Therapeutics for around $3.9 billion, expanding its portfolio of rare disease and cancer treatments.

Germany’s Merck KGaA agreed to acquire U.S. biopharmaceutical company SpringWorks Therapeutics for around $3.9 billion, in a bid to expand its oncology and rare disease business.The German life-sciences and chemicals company said Monday that the deal seeks to strengthen its healthcare segment and to expand its presence in the U.

Merck KGaA (Merck) has moved to strengthen its position in oncology and rare diseases with a $3.9bn agreement to acquire SpringWorks Therapeutics. Under the deal, Merck will pay $47 per share in cash,