Teva Jumps to Highest Since 2011 Amid Actavis AcquisitionElena Popina
Teva Pharmaceutical Industries Ltd., 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 2.3 percent to $46.74, the highest since July 2011. The shares increased 17 percent this year. The Bloomberg Israel-US Equity Index of the largest Israeli companies traded in New York retreated 0.6 percent.
Actavis Plc, 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.”