Biogen: rumours about takeover from pharma giants

Biogen is in the sights of giants like Merck and Allergan. According to rumors reported by the Wall Street Journal, Merck and Allergan they would have raised the possibility of an acquisition of the US biotechnology group. Negotiations are at an early stage.

If it happens, it'd be the biggest deal since 2008 when Roche acquired Genentech. Representatives from Merck and Biogen did not immediately respond to request for comment. Allergan declined to comment. 
Leerink Partners analyst Geoffrey Porges said the operation would be decisive for large drugmakers because "There's a scarcity of assets in the industry," Porges said. "The industry needs to bulk up and consolidate and neither Merck nor Allergan have a multiple sclerosis business today," he declared. Infact Biogen is recognized as the leading maker of multiple sclerosis (MS) medicines.

Biogen has a market value of 68 billion dollars. The indiscretion gives wings to the share price, which comes to rise by 10.5%.