Thursday, February 5, 2015

AstraZeneca to buy Actavis lung drugs as earnings fall short

A sign is seen at an AstraZeneca site in Macclesfield AstraZeneca said on Thursday it had agreed to buy Actavis' branded respiratory drug business in the United States and Canada for an initial $600 million as it reported weak fourth-quarter earnings. AstraZeneca, which is seeking external deals to ensure growth, will also pay another $100 million after Actavis agreed to a number of changes to ongoing collaborations between the two firms. Adjusted or "core" earnings per share, however, are forecast to increase by a low single-digit percent this year. Citi analyst Andrew Baum said AstraZeneca appeared to have "kitchen-sinked" the quarter, or taken a deliberate hit to earnings by increasing drug development costs sharply in the period.








via Health News Headlines - Yahoo News http://ift.tt/1zQ0rAe

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