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Oppenheimer raises Harpoon target, wonders if Merck deal could be starting point

Oppenheimer raised the firm’s price target on Harpoon Therapeutics (HARP) to $27 from $23 and keeps an Outperform rating on the shares. The firm notes that Merck (MRK) and Harpoon Therapeutics announced that the companies have entered into a definitive agreement under which the former will acquire the latter for $23/share in cash for a total equity value of $680M. Oppenheimer says in a research note titled “Could the takeout valuation be a starting point?” that it believes Harpoon’s novel T-Cell engagers are differentiated, the platform is scalable and the emerging early/late stage clinical data indicate a best-in-class asset.

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