Needham & Company Maintains a 'Hold' on Watson Pharmaceuticals (WPI); Looking at Actavis
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Price: $85.73 --0%
Rating Summary:
13 Buy, 4 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
13 Buy, 4 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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Needham & Company maintains a 'Hold' on Watson Pharmaceuticals (NYSE: WPI).
Analyst, Elliot Wilbur, said, "There are unconfirmed reports in the press that WPI could make a bid for Actavis, an Iceland-based global generics company that, after a significant 2003-08 growth spurt, sank under its load of debt and was subsequently taken over by Deutsche Bank (NYSE: DB) in late 2010. News reports suggest a possible acquisition price of ~$7.0B, consistent with recent transaction multiples and the last known carrying value of Actavis debt on DB's books. Since going private in 2007, details on Actavis results have been somewhat murky but we would note that when the European commission cleared DB's acquisition of Actavis in late 2010, sales were running at just over 1.5B Euros and sources suggest TTM sales are still reasonably close to these levels. Actavis is a global company with sales in more than 40 countries around the globe. U.S. sales, consistently primarily of the old Alpharma Amneal acquisitions, account for about one-third of total."
For an analyst ratings summary and ratings history on Watson Pharmaceuticals click here. For more ratings news on Watson Pharmaceuticals click here.
Shares of Watson Pharmaceuticals closed at $63.69 yesterday.
Analyst, Elliot Wilbur, said, "There are unconfirmed reports in the press that WPI could make a bid for Actavis, an Iceland-based global generics company that, after a significant 2003-08 growth spurt, sank under its load of debt and was subsequently taken over by Deutsche Bank (NYSE: DB) in late 2010. News reports suggest a possible acquisition price of ~$7.0B, consistent with recent transaction multiples and the last known carrying value of Actavis debt on DB's books. Since going private in 2007, details on Actavis results have been somewhat murky but we would note that when the European commission cleared DB's acquisition of Actavis in late 2010, sales were running at just over 1.5B Euros and sources suggest TTM sales are still reasonably close to these levels. Actavis is a global company with sales in more than 40 countries around the globe. U.S. sales, consistently primarily of the old Alpharma Amneal acquisitions, account for about one-third of total."
For an analyst ratings summary and ratings history on Watson Pharmaceuticals click here. For more ratings news on Watson Pharmaceuticals click here.
Shares of Watson Pharmaceuticals closed at $63.69 yesterday.
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