UK pharmaceutical giant AstraZeneca is considering a deal to merge with its US competitor Bristol Myers Squibb, a transaction that would value the combined company at approximately $400 billion. The Financial Times first reported the news, citing sources familiar with the matter, indicating that discussions have been ongoing for several months.
Such a megadeal, if it materializes, would create one of the largest pharmaceutical companies globally. However, it faces significant regulatory hurdles, particularly from US antitrust authorities under President Donald Trump's administration. Antitrust lawyers expect scrutiny from the US Federal Trade Commission (FTC), especially given potential overlaps in cancer drug portfolios and the administration's focus on domestic investments and manufacturing.
The two companies have strong cancer drug portfolios. AstraZeneca's cancer treatments accounted for about $25 billion in 2025 sales, nearly half its total, while oncology drugs made up over 40% of Bristol Myers Squibb's overall sales in the first six months of 2026. Both companies have competing cancer immunotherapies, which could necessitate significant divestitures to satisfy regulators, similar to Bristol Myers Squibb's required sale of psoriasis treatment Otezla during its 2019 acquisition of Celgene for $80 billion.
