Teva receives interest from funds - report
08 AUG 2017
Teva has attracted attention of funds looking to inject cash into the firm for a major holding in the company, according to a report in Ha'aretz. The report noted, based on unidentified sources, that the company's share price has declined by 70% over the last two years, and its market capitalisation is now at par with the level it had in 2000. The company is allegedly now vulnerable for a takeover, as potential buyers offer around USD 5bn to acquire 15%-20% stake in the firm.
The report noted that as the bar on Allergan for selling its 9.9% holding in the company has ended, the firm's CFO Maria Teresa Hilado indicated that the firm could sell them, and the suitors of Teva may buy those shares.
Teva itself is vulnerable for a takeover in part due to the USD 35bn it had taken out for the acquisition of Actavis. Mike McCellan, the firm's CFO has recently warned that the firm needs to accelerate sale of assets to have more cash, the report continued.
Haaretz