Thursday 21 August 2014

Pfizer back for AstraZeneca? Year-end move seen most likely

A man walks past a sign at an AstraZeneca site in Macclesfield By Ben Hirschler LONDON (Reuters) - Shares in drugmaker AstraZeneca have climbed more than 7 percent this week, fueled by speculation of renewed takeover interest from Pfizer, following an abortive $118 billion (71 billion pounds) takeover attempt in May. But while British takeover rules mean deal talks could be back on the cards as early as Aug. 26, following the ending of the first of a two-stage cooling-off period, many investors and analysts see the year-end as a more likely time for any return. "I'm not expecting anything next week," said Dan Mahony, a fund manager at Polar Capital, who increased his stake in AstraZeneca last year. "I know the stock is rallying on anticipation but I suspect if anything is going to happen it is more likely to happen in November or December." Pfizer Chief Executive Ian Read has made clear he is still considering big deals to revive his firm's pipeline and cut its tax bill - something buying AstraZeneca would allow it to do via a so-called inversion that would shift its tax base to Britain.




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