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Gilead’s board hired CEO Dan O’Day a year ago to look for new areas of growth for the $22 billion biotech. On Monday, the company announced that it would spend $4.9 billion to purchase Forty Seven, a developer of new cancer drugs.

The deal is likely to be met warmly by investors, though some may balk at the price: Gilead is paying double what shares of Forty Seven traded at before deal negotiations were reported by Bloomberg last week. Shares in Gilead rose 4.5% in early morning trading. 

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