Market Overview

Alexion Trades Lower Amid Amgen-Celgene News

Alexion Trades Lower Amid Amgen-Celgene News

Alexion Pharmaceuticals, Inc. (NASDAQ: ALXN) shares climbed 7.5% last Thursday on rumors of a potential buyout and have since given up all of those gains.

Alexion develops therapies for rare diseases and has been rumored to be a takeover target for Amgen, Inc. (NASDAQ: AMGN) for about a year. The speculation gained further momentum last week when Spanish publication Intereconomia carried a report Amgen is close to buying Alexion for $200 per share, suggesting a roughly 74% premium.

Subsequently on Thursday, Mizuho Securities said the report could have some merit to it.

The stock fell 6.6% Friday and is down about 2.5% Monday after Amgen announced a deal to buy Celgene Corporation (NASDAQ: CELG)'s psoriasis drug Otezla for $13.4 billion, as part of a regulatory requirement to consummate its merger with Bristol-Myers Squibb Co (NYSE: BMY).

The weakness seen Monday is apparently stemming from pessimism concerning Amgen making a shy at Alexion in the wake of the multi-billion dollars it is coughing up for Otezla.

At time of publication, Alexion shares were down 2.54% to $112.30 on below-average volume.

Related Links:

Good News For Bad Cholesterol Drug Sends Medicines Company Shares Flying

The Week Ahead In Biotech: A Quiet One Ahead Of Labor Day Weekend

Posted-In: OTEZLABiotech Movers Trading Ideas General Best of Benzinga


Related Articles (ALXN + AMGN)

View Comments and Join the Discussion!
Lightning Fast
Market News Service
$199 Free 14 Day Trial
Book A Demo
Learn How You Can Succeed In The Market With Benzinga Pro

Fastest Market News

Real-Time News Alerts

Customizable News Filters

Book A Demo

Morgan Stanley Starts Neutral Coverage On iHeartMedia

Curaleaf Sells 6 Properties For $28.3M