UPDATE: Credit Suisse Downgrades Life Technologies to Neutral on Announced Acquisition by TMO
In a report published Tuesday, Credit Suisse analyst Vamil Divan downgraded the rating on Life Technologies Corp. (NASDAQ: LIFE) from Outperform to Neutral, but raised the price target from $69.00 to $76.00.
In the report, Divan noted, “The closely followed (and surprisingly public!) strategic review that LIFE was undergoing concluded this morning with TMO agreeing to acquire LIFE for $76/share. TMO ultimately paid a little more than we had expected, but the company also believes they will be able to generate accretion in 2015 beyond what we had previously estimated. Overall, we see this deal as a positive for TMO, as it expands their presence in certain high-growth markets, provides them with the opportunity for meaningful synergies and will be significantly accretive to TMO's earnings...We also downgrade LIFE to Neutral (from Outperform) while raising our LIFE target price to $76 (from $69).”
Life Technologies Corp. closed on Monday at $73.11.
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