Shire in talks to take over Salix Pharmaceuticals, reports say
Updated : 08:56
Shire is preparing to make a bid for Salix Pharmaceuticals, a drugmaker based in the US, according to reports.
However, Shire is still to decide whether to place a bid or not given the deal's complexity, Reuters reported on Friday.
Salix has a market capitalisation of $9.2bn after finishing Thursday's session on the Nasdaq at $149.18 per share.
Valeant Pharmaceuticals International is also believed to be exploring an offer for a takeover off more than $150 per share.
On Thursday, Shire posted fourth-quarter earnings of $2.63 (£1.71) per share, up 17% but just short of analysts’ expectations, while revenue rose 19% to $1.58bn, above consensus estimate of $1.55bn.
Chief executive Flemming Ornskov said: "2014 was a transformational year for Shire as we delivered on our strategy by achieving record revenues and Non GAAP diluted earnings per ADS, and developing the strongest pipeline in our history.
"We also successfully executed on value-enhancing mergers and acquisitions and generated strong cash flows which will enable us to continue investing in drivers of growth."
Shares in Shire were up 0.36% to 5,015p on Friday at 08:30.