Bloomberg News

Teva Rallies to Highest Since 2011 Amid Pharmaceutical Buyouts

February 19, 2014

Teva Pharmaceutical Industries Ltd. (TEVA:US), the world’s largest maker of generic drugs, rallied in New York on prospects the company will benefit from the busiest year for health-care acquisitions since 2009.

Shares of Petach Tikva, Israel-based Teva added 3.2 percent to $47.5 at 2:10 p.m., the highest since July 2011. The shares increased 18 percent this year. The Bloomberg Israel-US Equity Index of the largest Israeli companies traded in New York retreated 0.2 percent.

Actavis Plc (ACT:US), the world’s second-largest generic-drug maker by market value, agreed yesterday to buy Forest Laboratories Inc. for about $25 billion. Pharmaceutical and biotechnology deals totaled about $110 billion in the 12 months through February, data compiled by Bloomberg show. That’s the most for any 12-month period since 2009, the data show.

“What we see is Teva’s reaction to the Actavis acquisition of Forest Laboratories,” Kevin Kedra, a health-care analyst at Gabelli & Co., who rates Teva a buy, said by phone from Rye, New York today. “There’s this general excitement; there is an expectation of further acquisitions.”

To contact the reporter on this story: Elena Popina in New York at epopina@bloomberg.net

To contact the editor responsible for this story: Tal Barak Harif at tbarak@bloomberg.net


Best LBO Ever
LIMITED-TIME OFFER SUBSCRIBE NOW

Companies Mentioned

  • TEVA
    (Teva Pharmaceutical Industries Ltd)
    • $52.37 USD
    • 0.14
    • 0.27%
  • ACT
    (Actavis plc)
    • $237.09 USD
    • -1.67
    • -0.7%
Market data is delayed at least 15 minutes.
 
blog comments powered by Disqus