Pri­vate eq­ui­ty groups bag Sta­da in $5.6B buy­out; Jef­feries sees de­te­ri­o­rat­ing prospects for As­traZeneca

→ The gener­ics busi­ness is con­tin­u­ing to con­sol­i­date. Bain and Cinzen have done a deal to ac­quire Ger­many’s Sta­da for $5.6 bil­lion. The pri­vate eq­ui­ty groups are pay­ing close to a 50% pre­mi­um for the stock, if you com­pare it to the price these shares fetched be­fore word of a pos­si­ble takeover hit in De­cem­ber.

→ Jef­feries down­grad­ed As­traZeneca af­ter de­ter­min­ing that the com­pa­ny’s prospects have de­te­ri­o­rat­ed. “We and con­sen­sus have been guilty of fail­ing to re­flect the im­pact of fu­ture rev­enue ex­ter­nal­iza­tion and as­set dis­pos­als on rev­enue and earn­ings per share growth,” said an­a­lyst Jef­frey Hol­ford.

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