Exclusive: Oppenheimer Analyst Says Insys-Mallinckrodt Merger Not Any More Likely Than It Was 4 Months Ag

A source familiar with the matter told Benzinga on Tuesday that Mallinckrodt PLC MNK was in talks to acquire Insys Therapeutics Inc INSY in a transaction valuing shares at around $65. Shares of Insys were trading higher by more than six percent Wednesday after Benzinga reported on the potential transaction. Speaking to Benzinga on Wednesday, Oppenheimer's analyst that covers Mallinckrodt Akiva Felt said that progression of rumor between the two companies is "still stagnant," but he added that it "fits into" Mallinckrodt's strategy. The analyst also added that he "doesn't know why it would be more likely now versus four months ago." Finally, when asked if a consolidation is expected between large biotech companies and smaller cannabis companies, Felt suggested that analysts are "talking down" on M&A chatter of that magnitude.