Day One Biopharmaceuticals, Inc. (NASDAQ:DAWN) shares are trading higher Friday after the company announced that Servier will acquire it for $21.50 per share in cash.

• Day One Biopharmaceutical stock is trading at elevated levels. What should traders watch with DAWN?

Servier To Acquire Day One In $2.5B Deal

Under the terms of the agreement, Servier will acquire Day One for $21.50 per share in cash, representing a total equity value of approximately $2.5 billion. The offer price represents a premium of about 68% over Day One's closing price on March 5 and a premium of approximately 86% over the one-month volume weighted average price as of March 5.

Servier said the acquisition will expand its oncology pipeline and strengthen its position in rare oncology, including pediatric low-grade glioma.

"This acquisition of Day One Biopharmaceuticals marks another decisive step in strengthening Servier’s position in rare oncology," said Olivier Laureau, President of Servier.

The transaction is expected to close in the second quarter of 2026, subject to customary closing conditions, including shareholder tender requirements and U.S. antitrust clearance.

Day One Shares Soar Higher

DAWN Price Action: At the time of publication, Day One shares are trading 65.18% higher at $21.11, according to data from Benzinga Pro.

Image created using artificial intelligence via Midjourney.