- Madrigal is focused on developing therapies for metabolic dysfunction-associated steatohepatitis.
- The company’s Rezdiffra drug is already approved by the U.S. Food and Drug Administration for the treatment of MASH with moderate to advanced fibrosis.
- The company licensed global rights to six pre-clinical siRNA programs in February for up to $4.4 billion to expand its pipeline.
Shares of Madrigal Pharmaceuticals Inc. (MDGL) closed 12% higher on Thursday on buyout speculation by pharma giant Eli Lilly and Company (LLY).
The rumors originated after Madrigal featured on the Betaville blog, which highlights potential corporate transactions. The blog highlighted that the news is market gossip and added that it might be “total codswallop.”
Madrigal’s MASH Focus
Madrigal is focused on developing therapies for metabolic dysfunction-associated steatohepatitis (MASH), a serious, progressive liver disease marked by fat accumulation, inflammation, and cell damage.
The company’s Rezdiffra drug is already approved by the U.S. Food and Drug Administration for the treatment of MASH with moderate to advanced fibrosis. The company is also evaluating the drug for the treatment of compensated MASH cirrhosis.
Madrigal’s Financials
For full-year 2025, the company reported Rezdiffra net sales of $958.4 million. There were more than 36,250 patients on Rezdiffra as of the end of 2025, the company said.
The company also licensed global rights to six pre-clinical siRNA programs from Suzhou Ribo Life Science Co. Ltd. and its subsidiary Ribocure Pharmaceuticals AB in February for up to $4.4 billion to expand its pipeline. The company is looking to undertake non-clinical studies for some of the candidates in 2026.
In January, the company announced an exclusive global license agreement with Pfizer for Ervogastat in yet another attempt to expand its MASH pipeline.
How Did Stocktwits Users React?
On Stocktwits, retail sentiment around MDGL stock jumped from ‘neutral’ to ‘extremely bullish’ territory over the past 24 hours, while message volume increased from ‘low’ to ‘extremely high’ levels.
A Stocktwits user opined that Lilly will be a great company to care for Madrigal while adding that the buyout must value the company between $800-$1000 per share.
Another proposed the idea of the company merging with Viking Therapeutics instead. Viking is developing a drug candidate called VK2809 for MASH as well.
MDGL stock has gained 55% over the past 12 months.
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