AstraZeneca slips on talk of possible £7bn bid for US cancer specialist

Discussion in 'Market News' started by Lily, Apr 18, 2016.

  1. Lily

    Lily Forum Member

    Aug 29, 2015
    Likes Received:
    US group Medivation attracting interest from major pharmaceutical groups

    AstraZeneca has slipped back following weekend reports it was considering a £7bn bid for San Francisco cancer treatment specialist Medivation.

    The US company has already rejected an approach from France’s Sanofi, and is said to have hired advisers to help fend off any hostile move. Analysts believe there is likely to be interest from other pharmaceutical businesses, with AstraZeneca just one possible bidder. Shore Capital’s Dr Tara Raveendran said:

    A bid for the company would fit with AstraZeneca’s recent strategic focus on oncology, with durvalumab, Lynparza and Tagrisso expected to collectively earn $12bn per annum in sales by 2023F a significant proportion of the $45bn target set by chief executive Pascal Soriot following the Pfizer-bid.

    Alongside combinations of in-house drugs, Astrazeneca have also looked to acquisitions in order to acquire new oncology therapies, including the $4bn acquisition for a 55% stake in Acerta Pharma and their blood cancer candidate acalabrutinib. Medivation markets prostate cancer drug Xtandi in the US, which has come under scrutiny from US politicians who want to see a price reduction, but also has pipeline assets such as the P3 PARP-inhibitor talazoparib in development for patients with locally advanced and/or metastatic breast cancer with BRCA 1/2 mutation.

    Continue reading...

Share This Page

free forex signals