The laboratory Allergan next possible target of a takeover
- on 08.22.10
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The biotechnology company Allergan Inc. specializes in the manufacture of Botox is currently used to treat wrinkles, or breast implants could be a target for a major pharmaceutical company through a tender offer (OPA).
This probability has indeed risen sharply since last month and the presumed interest of the French pharmaceutical group Sanofi-Aventis U.S. for Genzyme.
The increasing use by the entire population of products manufactured by Allergan for cosmetic or aesthetic surgery and medicine is the main attraction of the U.S. laboratory.
Industry experts believe that the group, whose market capitalization is about $ 19.4 billion (15.3 billion), Sanofi could include interest in case of failure of negotiations in the acquisition of French Genzyme.
But the biotechnology company could also generate interest from other industry giants like Pfizer and Eli Lilly, which both seek to offset a drop in future revenues due to the expiration of their patents in coming years.
"ASSET VALUE OF EXTRAORDINARY"
"Allergan is clearly at the top of most lists (acquisitions) of large pharmaceutical companies and is considered an attractive target, it is a very valuable asset," said Ken Cacciatore, an analyst at Cowen and Co.
Analysts said Allergan could include permit Pfizer or Merck & Co to expand their portfolio of pharmaceutical products and increase their presence in emerging markets.
One analyst noted that Eli Lilly could be the one who had most to gain from the acquisition of Allergan.Especially Eli Lilly will lose patent number 2014, like those for its top-selling drug Zyprexa, which helps fight against schizophrenia, or the antidepressant Cymbalta.
According to Deutsche Bank, Eli Lilly profits could even drop to 35% by 2014.
Now at nearly 63 dollars per share, some analysts argue that the recovery Allergan remains undervalued and could rise steeply, especially if U.S. authorities approve the use of Botox as a treatment against migraine.
The approval could come as early as November and increase to at least 500 million dollars a year, sales of Botox, while the latter has already reached $ 1.4 billion.
Despite representing a ratio of 17.5 times earnings per share for the group hoped to 2011, when the multiple is only 9.9 for the large pharmaceuticals, Allergan's stock price could reach $ 90 in a analyst.