Amgen still far from performing an important acquisition

CFO of the US-based biotech group Amgen, David Meline, has said in an interview that, despite his team’s commitment in researching for a valid M&A candidate, it has not come up with any results yet, due to the companies’ current high valuations. Amgen has the financial means to perform a significant acquisition. Such a deal would diversify its portfolio, which still excessively depends on Repatha and Prolia. The US biotech has a $27bn cash reserve, and is able to easily raise $40bn on debt markets. The statement is consistent with the deals closed during the first weeks of the year–indeed, both as Celgene acquired Juno and as Sanofi acquired Bioverativ, the target companies’ investors obtained a bonus over 50%.
(Source: FT)