Teva formalises offer to acquire Mylan for $82 a share in cash and stock

Teva Pharmaceuticals has launched a bid to acquire sector peer Mylan in a cash and stock deal.

Teva has proposed to acquire drug maker Mylan for about $40bn in cash and stock, which would value Mylan at $82 per share.

Earlier on Tuesday, shares of the Israeli-based group jumped in pre-market trade in New York, after a Bloomberg report suggested that Teva could make a public offer for Mylan as soon as Tuesday, adding that Teva had nominated Barclays as its advisor for the deal.

Shares in Mylan were up 8.31% at $68.04 in pre-market trade in New York, while Teva's New York Stock Exchange-listed shares were up 1.77% to $63.29.

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