U.K.-based pharmaceutical company AstraZeneca is in talks to merge with U.S. drugmaker Bristol Myers Squibb in a deal that would value the combined company at about $400 billion, according to a Financial Times report.

The companies have discussed the potential merger over the past few months, although it remains unclear whether an agreement will be reached (02/08).

If completed, the transaction would be one of the largest mergers in history. AstraZeneca and Bristol Myers Squibb did not immediately respond to CNBC's request for comment.

Potential Deal Could Create One of the Largest Pharmaceutical Mergers

According to the Financial Times, discussions between the two companies have taken place over the last few months. However, sources said it is still uncertain whether the proposed merger will move forward.

The reported talks come about 12 years after AstraZeneca defended itself against a takeover bid from its larger U.S. rival, Pfizer.

AstraZeneca Reports Continued Growth in Cancer and Rare Disease Drugs

Last week, AstraZeneca reported second-quarter results showing continued growth driven by demand for its cancer and rare disease medicines.

The company said cancer treatments generated about $25 billion in sales in 2025, accounting for nearly half of its total revenue.

Cardiovascular, renal, and metabolism treatments contributed about $12 billion in sales.

Merger Talks Follow AstraZeneca's U.S. Listing Plan

Last year, AstraZeneca announced plans for a direct U.S. listing while remaining listed in London.

The company said the move was aimed at benefiting from stronger valuations in the U.S. market.

During Pascal Soriot's 14 years as chief executive, AstraZeneca's share price has increased more than fourfold, outperforming the broader FTSE 100 index and its main British rival, GSK.

PHOTO: BUSINESS TIMES

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