Top an­a­lyst finds a sil­ver lin­ing in Ab­b­Vie’s $63B Al­ler­gan buy­out — but there’s a catch

Af­ter get­ting beat up on all sides from mar­ket ob­servers who don’t much care for the lat­est mega-deal to ar­rive in bio­phar­ma, at least one promi­nent an­a­lyst now is start­ing to like what he sees in the num­bers for Ab­b­Vie/Al­ler­gan.

But it’s go­ing to take some en­cour­age­ment if Ab­b­Vie ex­ecs want it to last.

Ab­b­Vie’s mar­ket cap de­clined $20 bil­lion on Tues­day as the stock took a 17% hit dur­ing the day. And SVB Leerink’s Ge­of­frey Porges can see a dis­tinct out­line of an up­side af­ter re­view­ing the fun­da­men­tals of the deal.

Key to this bull­ish po­si­tion is Porges’ be­lief that Ab­b­Vie can slice more than $2 bil­lion in “syn­er­gies” post-merg­er while cred­it­ing the phar­ma gi­ant with an in­dus­try-lead­ing com­mer­cial team that can han­dle these new prod­ucts — pri­mar­i­ly Botox and med­ical aes­thet­ics — even bet­ter than Al­ler­gan.

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