AstraZeneca PLC (AZN) May Rethink Aversion to Big Deals
1/20/2012 7:22:19 AM
AstraZeneca Plc (AZ)’s pledge to avoid big acquisitions may be tested after setbacks for three of the company’s most promising drugs in development. Chief Executive Officer David Brennan hasn’t announced an acquisition of more than $1 billion since buying MedImmune Inc. in 2007 for about $15.2 billion, and the company says it’s not looking for another deal of that size. Analysts at Credit Suisse AG and JPMorgan Chase & Co. have said AstraZeneca may undertake a bigger takeover to replace revenue that will be lost to generic competition. With the failure or delay in the past month of experimental drugs for diabetes, ovarian cancer and severe depression, the risk is increasing, said Credit Suisse’s Luisa Hector.