Day One Biopharma Enhances Oncology Portfolio Through $285 Million Acquisition of Mersana
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 13 2025
0mins
Should l Buy DAWN?
Source: Benzinga
Acquisition Announcement: Day One Biopharmaceuticals has agreed to acquire Mersana Therapeutics for a total deal value of up to approximately $285 million, with an upfront cash consideration of $25 per share and additional contingent payments.
Focus on Pediatric Cancers: Day One is dedicated to developing treatments for pediatric cancers, with a strong pipeline including the drug tovorafenib (Ojemda), which has seen significant revenue growth and increased prescription rates.
Mersana's Development Potential: The acquisition allows Day One to support the development of Mersana's Emi-Le for treating adenoid cystic carcinoma, addressing a significant unmet medical need.
Market Reaction: Following the announcement, Mersana Therapeutics shares surged by over 206%, while Day One Biopharmaceuticals shares experienced a decline of nearly 6%.
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Analyst Views on DAWN
Wall Street analysts forecast DAWN stock price to rise
9 Analyst Rating
8 Buy
1 Hold
0 Sell
Strong Buy
Current: 11.000
Low
16.00
Averages
24.13
High
34.00
Current: 11.000
Low
16.00
Averages
24.13
High
34.00
About DAWN
Day One Biopharmaceuticals, Inc. is a commercial-stage biopharmaceutical company focused on developing and commercializing targeted therapies for people of all ages with life-threatening diseases. It partners with clinical oncologists, families, and scientists to identify, acquire, and develop cancer treatments. Its commercial product, OJEMDA (tovorafenib), is an oral, brain-penetrant, selective type II rapidly accelerated fibrosarcoma (RAF) kinase inhibitor. OJEMDA is used for the treatment of patients over six months of age and older with relapsed or refractory pLGG harboring a BRAF fusion or rearrangement, or BRAF V600 mutation. Its pipeline product candidates include DAY301 and Emi-Le (emiltatug ledadotin). DAY301 is a novel Antibody Drug Conjugate, or ADC, targeting protein-tyrosine kinase 7, or PTK7. Emi-Le (emiltatug ledadotin) is a novel antibody drug conjugate (ADC) targeting the B7-H4 protein in clinical development to treat the rare cancer adenoid cystic carcinoma (ACC).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- 2026 Growth Projections: The company anticipates U.S. net product revenue for OJEMDA to range between $225 million and $250 million in 2026, representing a 53% year-over-year growth at the midpoint, reflecting optimism about future market demand and product performance.
- Cash Reserves: As of December 31, 2025, prior to the acquisition of Mersana, Day One had approximately $441.1 million in cash, cash equivalents, and short-term investments (unaudited), providing robust financial support for expansion and R&D initiatives.
- Stock Price Reaction: Day One's stock surged by 22.43% to $10.945, indicating positive market sentiment regarding the company's growth potential, particularly following the acquisition of Mersana, which may enhance its product portfolio and competitive positioning.
See More
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See More
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See More
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- Optimistic 2026 Outlook: The company projects U.S. OJEMDA net product revenue between $225 million and $250 million for 2026, reflecting a midpoint growth of 53%, indicating a strategic commitment to establishing the product as the standard of care and expanding its global market presence.
- Clinical Trial Progress: Day One expects to complete enrollment in the pivotal Phase 3 FIREFLY-2 trial in the first half of 2026, with mid-2027 data readout anticipated, positioning the company for potential approval in 2028, thereby solidifying its market position in treating pediatric low-grade glioma.
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See More
