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 has struck a deal to buy U.S. biotech company SpringWorks Therapeutics for an equity value of $3.9 billion to add rare cancer therapies ahead of expected revenue losses linked to expiring patents.

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,