Pfizer: The World is Not Enough

[297point1]

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Pfizer eyes AstraZeneca in $99 billion deal
http://dealbook.nytimes.com/2014/04...=true&_type=blogs&_php=true&_type=blogs&_r=1&

"We will not be satisfied until we own, or have licensing deals for, every branded prescription product in the developed world" said Ian C. Read, Pfizer's Chairman and Chief Executive.
(Okay, I made that quote up. But does it seem that far fetched?)

 

[radio frequency]

Pfizer has had pretty middling performance lately. They also spun off a big chunk of pharmaceuticals last year as Zoetis, so they likely had extra cash...this has probably been part of their plans for some time now. The drugs in the surrent Pfizer pipeline aren't that promising right now. This may be a good thing for them.

 

[PharmEcon]

Tax inversion = big savings. Plus they can use some of that foreign held cash for this without having to pay US taxes to repatriate the money.

 

[IndustryPharmD]

Both Pfizer and AstraZeneca are doing rather poorly, among the worst in the industry for big/mid-size pharma. It would be a merger of two sorry companies trying to salvage what's profitable from each other's assets.

 

[owlegrad]

I'm sorry, 99 billion?

What? I can't wrap my head around that kind of figure. 😕

 

[zelman]

I'm sorry, 99 billion?

What? I can't wrap my head around that kind of figure. 😕

It's the sign on bonus you can get for working in Alaska.

 

[farmadiazepine]

These companies can save the world if they wanted to. $99 billion can save the world. HIV, cancer, sanitation, starvation, technology problems, oil problems, whatever it is $99 billion can save the world.

But wait, just give it to the CEO's and top exec's and let them live lavishly in their homes and properties that have $1 million annual property taxes. F*** the world.

Screwed up right?

 

[IndustryPharmD]

Wow... I always knew that an average Joe doesn't understand financials, but apparently it's even worse than I thought...

 

[deleted480308]

These companies can save the world if they wanted to. $99 billion can save the world. HIV, cancer, sanitation, starvation, technology problems, oil problems, whatever it is $99 billion can save the world.

But wait, just give it to the CEO's and top exec's and let them live lavishly in their homes and properties that have $1 million annual property taxes. F*** the world.

Screwed up right?

you know that is a ridiculous statement, right?

 

[Klueril]

Both Pfizer and AstraZeneca are doing rather poorly, among the worst in the industry for big/mid-size pharma. It would be a merger of two sorry companies trying to salvage what's profitable from each other's assets.

In your opinion, what (big) pharma are doing pretty well right now? Lilly, Sanofi, J&J?

 

[xiphoid2010]

These companies can save the world if they wanted to. $99 billion can save the world. HIV, cancer, sanitation, starvation, technology problems, oil problems, whatever it is $99 billion can save the world.

But wait, just give it to the CEO's and top exec's and let them live lavishly in their homes and properties that have $1 million annual property taxes. F*** the world.

Screwed up right?

Pfizer is most likely offering to takeover using $99 billion in stocks. Eg, if AZ stock is at $30/share, Pfizer at $20/share. Pfizer may offer 2 shares for each AZ share. AZ stock holder will get a nice premium, Pfizer will have some dilution in share value in the short run, but its no $99 billion.

 

[radio frequency]

In your opinion, what (big) pharma are doing pretty well right now? Lilly, Sanofi, J&J?

I'm not IndustryPharmD, but my answer is none of them. It's not a great time to invest in big pharma.

 

[bobanderson214]

These companies can save the world if they wanted to. $99 billion can save the world. HIV, cancer, sanitation, starvation, technology problems, oil problems, whatever it is $99 billion can save the world.

But wait, just give it to the CEO's and top exec's and let them live lavishly in their homes and properties that have $1 million annual property taxes. F*** the world.

Screwed up right?

So many things wrong with this statement. The sad part is that a growing number of people think this way.

 

[297point1]

The press is zeroing on the tax avoidance implications: http://www.washingtonpost.com/blogs...-to-effectively-renounce-its-u-s-citizenship/

Going to be some bad PR for a while, but I don't foresee anyone organizing a boycott of Enbrel and Lyrica over this.

 

[297point1]

The bid is now up to $118.8 billion, and AZ is still saying "thanks, but no thanks."
http://www.nbcnews.com/business/bus...cts-119-billion-takeover-offer-pfizer-n108801

The recent run-up in AZ stock price is coming back to Earth- it has dropped 15% today.