Bristol-Myers Squibb (BMY) purchased diabetes drug-maker Amylin Pharmaceuticals (AMLN) for $5.3 billion on Friday. This is the 5th billion dollar pharmaceutical deal this year, and the largest. Bristol-Meyers complete another acquisition earlier this year.
The deal should be a nice boost for Bristol, who faced initial generic competition for their $7 billion blood-thinning drug, Plavix, for the first time in May.
AstraZeneca (AZN) is going to pay Bristol $3.4 billion to help pipeline the drug.
Diabetes is a problem in the US, especially type 2, which is generally induced by the excess consumption of sugars. The disease is directly related to the obesity epidemic. About 346 million people worldwide are diabetics.
Business Section: Investing Ideas
By buying out Amylin, the desire to compete in the diabetes drug market will most likely become more intense. Other major pharmaceuticals like Pfizer (PFE) and Merck (MRK) could be looking to get in on this so far exclusive market.
The market for new acquisitions by the major drug producers has slowed down recently, partially because there just aren’t too many companies producing drugs with a high potential to succeed.
Take a closer look at the Use the Turbo chart to compare market performance of the two firms involved:
Below is a list of the largest pharmaceutical companies trading on the US exchanges. Are more M&A mergers in the works for these big names?
1. Amylin Pharmaceuticals, Inc. (AMLN, Earnings, Analysts, Financials): Engages in the discovery, development, and commercialization of drug candidates for the treatment of diabetes, obesity, and other diseases. Market cap at $5B, most recent closing price at $30.70.
2. Bristol-Myers Squibb Company (BMY, Earnings, Analysts, Financials): Develops, and delivers innovative medicines that help patients prevail over serious diseases. Market cap at $ 60.66B, most recent closing price at $36.05.
3. AstraZeneca PLC (AZN, Earnings, Analysts, Financials): Develops, and commercializes prescription medicines for cardiovascular, gastrointestinal, infection, neuroscience, oncology, and respiratory and inflammation diseases worldwide. Market cap at $57.57B, most recent closing price at $45.67.
4. Pfizer Inc. (PFE, Earnings, Analysts, Financials): A biopharmaceutical company, offers prescription medicines for humans and animals worldwide. Market cap at $172.19B, most recent closing price at $23.00.
5. Merck & Co. Inc. (MRK, Earnings, Analysts, Financials): Provides various health solutions through its prescription medicines, vaccines, biologic therapies, animal health, and consumer care products. Market cap at $127.29B, most recent closing price at $41.85.
(Written by Ryan Horch)
Use Kapitall’s Tools: Looking for ways to analyze this list?
Use this article snapshot as a launch pad (click here for help): Simply click on the links, and use Kapitall’s tab navigation to browse through the data…
Analyze These Ideas: Getting Started
- Read descriptions for all companies mentioned
- Access a performance overview for all stocks in the list
- Compare analyst ratings for the companies mentioned
- Compare analyst ratings to annual returns for stocks mentioned
- Real-Time Opinion: Scan the latest tweets about these companies (feed will open in a new window)
Dig Deeper: Access Company Snapshots, Charts, Filings
- Amylin Pharmaceuticals, Inc. (AMLN, Chart, Download SEC Filings)
- Bristol-Myers Squibb Company (BMY, Chart, Download SEC Filings)
- AstraZeneca PLC (AZN, Chart, Download SEC Filings)
- Pfizer Inc. (PFE, Chart, Download SEC Filings)
- Merck & Co. Inc. (MRK, Chart, Download SEC Filings)
New to Kapitall?
1. New to the site? Click here to register for a free account, and gain access to more tools and data
2. Looking for more investing ideas like this? Click here to sign up for your free copy of Kapitall Weekly
3. Follow us on SeekingAlpha, Motley Fool, Nasdaq and Twitter
ABOUT KAPITALL WIRE
Kapitall Wire, which is not a broker/dealer, offers free cutting edge investing ideas, lively commentary and timely analysis of companies enhanced by interactive tools. And the Investing 101 section breaks complex concepts down to their basics, offering education to novices that doubles as a refresher course for more seasoned investors.
Kapitall Wire is a division of Kapitall Inc. Securities products and services are offered by Kapitall Generation, LLC, member FINRA/SIPC . Kapitall Generation, LLC is a wholly owned subsidiary of Kapitall, Inc.