United States-based pharmaceutical company Pfizer is set to buy American cancer drug firm Medivation in a $14-billion (Rs 94,048 crore approximately) deal. Pfizer confirmed the development on its website on Monday. Medivation makes prostate-cancer drug Xtandi.

Ian Read, chief executive officer of Pfizer, said, "The proposed acquisition of Medivation is expected to immediately accelerate revenue growth and drive overall earnings growth potential for Pfizer." He added that the new acquisition will strengthen Pfizer's Innovative Health business and accelerate its pathway to a leadership position in one of their key focus areas, oncology.

Xtandi generated $330.3 million (Rs 2,216 crore approximately) in sales in the second quarter of the financial year, the revenues are expected to go up to $5.7 billion (Rs 38,291 crore approximately) by 2020, according the CNBC. Following the development, the San Francisco-based company's shares went up by 20% at $80.56 (Rs 5,412 approximately) in premarket trade.