This page is temporarily not available. Please check later as it should be available shortly. If you have any questions, please email customer support at firstname.lastname@example.org or call 800-767-3771 ext. 9339.
For Immediate Release
Chicago, IL – October 22, 2012 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Watson Pharmaceuticals, Inc. , Novartis (NVS - Snapshot Report), Johnson & Johnson (JNJ - Analyst Report), Bayer (BAYRY - Analyst Report) and Shire (SHPG - Analyst Report).
Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513
Here are highlights from Friday’s Analyst Blog:
Watson a Step Closer to Actavis
Watson Pharmaceuticals, Inc. recently received a favorable vote from the Federal Trade Commission (FTC) for its proposed acquisition of the Actavis group of companies. However, Watson Pharma will be required to sell certain products.
These products will be sold to Par Pharmaceuticals, Inc. and Novartis’ (NVS - Snapshot Report) generic division, Sandoz. Currently marketed products that will be sold to Par Pharma include Actavis' generic versions of Johnson & Johnson’s (JNJ - Analyst Report) fentanyl transdermal film (chronic pain), Ani Pharmaceuticals, Inc.’s Reglan (nausea), Kadian (acute pain), and Bayer’s (BAYRY - Analyst Report) Adalat CC (hypertension and angina) among others.
Moreover, Par Pharma will acquire Watson’s pending applications for its generic versions of several products including Shire’s (SHPG - Analyst Report) Adderall XR (attention deficit hyperactivity disorder), among others.
All total, Watson Pharma and Actavis will be selling the rights and assets to 18 drugs and the manufacturing rights to three more.
EC Approval Already Gained
The FTC vote comes a few days after Watson Pharma received the green signal from the European Commission (EC) for its proposed acquisition of Actavis. The EC said that although the acquisition will lead to major changes in the competitive scenario, the combined entity will, nevertheless, continue facing strong competition.
The EC focused on the impact of the acquisition on the markets for drugs like anti-depressants and anti-hypertensives, especially in Denmark, Sweden and the UK.
Acquisition a Smart Strategic Move
Watson Pharma had first announced its intention to acquire Actavis in April 2012 for an upfront payment of €4.25 billion. Actavis stakeholders could also receive an additional consideration depending on the achievement of certain 2012 performance targets. The achievement of these targets would result in the delivery of up to 5.5 million shares of Watson Pharma in 2013. Actavis has a presence in more than 40 countries. The acquisition is slated to close later this month/early next month.
We view the upcoming acquisition of Actavis as a smart strategic move by Watson Pharma. This deal, which is expected to be immediately accretive, should help the company strengthen its presence in the ex-US generics market and expand and strengthen its presence and product portfolio. The acquisition will more than double the company’s commercial position in key European markets as well as emerging markets, including Central and Eastern Europe and Russia.
We note that this acquisition will make Watson Pharma the third largest global generics company. We currently have a Neutral recommendation on Watson Pharma, which carries a Zacks #2 Rank (short-term ‘Buy’ rating).
Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=5518.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
Zacks Investment Research
800-767-3771 ext. 9339