|Bid||7.03 x 21500|
|Ask||0.00 x 3100|
|Day's Range||6.86 - 7.58|
|52 Week Range||6.07 - 24.47|
|Beta (3Y Monthly)||2.42|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||9.26|
The drug industry faces roughly 2,600 lawsuits brought by state and local governments, hospitals and other entities seeking to hold drugmakers and distributors responsible for the toll of opioid abuse. Local governments seek funds to cover costs of services in their communities. Distributors McKesson Corp, AmerisourceBergen Corp and Cardinal Health have offered to pay $18 billion in cash over 18 years, while drugmaker Johnson & Johnson would pay $4 billion in cash, two people familiar with the matter told Reuters.
(Bloomberg) -- Johnson & Johnson has offered to pay $4 billion to settle all claims accusing the company of helping fuel the U.S. opioid epidemic, as part of a potentially larger deal involving drugmakers and distributors that could top $20 billion.J&J’s overture came on the heels of a proposal by distributors McKesson Corp., Cardinal Health Inc. and AmerisourceBergen Corp. to pay $18 billion to wipe out all opioid suits against those companies, according to people familiar with the proposal. The Wall Street Journal first reported the distributors’ offer Tuesday. The money would be paid out in annual $1 billion increments, according to the people, who asked not to be identified because the negotiations are private.J&J and the distributors -- which deliver the majority of prescription medications to U.S. pharmacies -- made the proposal in talks with a group of state attorneys general, the people said. The proposals came on the eve of the first federal trial in Cleveland over responsibility for the public-health crisis tied to opioids.Shares of J&J gained 2.2% at 10:38 a.m. in New York on Wednesday, while McKesson shares rose 7.4%, Cardinal rose 5.7% and AmerisourceBergen gained 6.4%.Teva Pharmaceutical Industries Ltd., another drug manufacturer targeted in the nationwide litigation, offered to give away more than $15 billion in generic drugs, including those that help fight opioid overdoses, to resolve all of its cases, said the people. That agreement would run over 10 years, the people said.Israel-based Teva’s shares rose 6.3% in New York on news of the settlement proposal. Teva’s bonds were among the top performers in the U.S. high-yield market on Wednesday, according to Trace bond trading data. The company’s 6% unsecured bonds rose more than 1.5 cents on the dollar to around 91.5.Other opioid manufacturers implicated in the federal trial, including Mallinckrodt and Endo, also rose in the wake of the news.If all the proposals are accepted, the Cleveland trial likely will be put off given that the three distributors and Teva are the main defendants, the people said. In the trial, two counties are seeking reimbursement for the hundreds of millions in tax dollars spent on the fallout from opioid addictions and overdoses.“As we’ve stated previously, we remain open to viable options to resolve these cases, including through settlement,” Ernie Knewitz, a J&J spokesman, said in an emailed statement.U.S.-based Teva spokeswoman Kelley Dougherty declined to comment on the proposed deal. AmerisourceBergen spokesman Gabriel Weissman and Brandi Martin, a Cardinal Health spokeswoman, also declined to comment. McKesson spokeswoman Sunny Rodriguez didn’t respond to requests for comment.Samantha Fisher, a spokeswoman for Tennessee Attorney Herbert Slatery III, didn’t respond to an emailed request for comment, sent after regular business hours. Slatery is one of the leaders of the negotiations.It’s the first time J&J has put serious money on the table to end its opioid liability, the people said. The drugmaker agreed earlier this month to pay $20.4 million to two Ohio counties to avoid a federal trial, but that didn’t extend to any other opioid claim. Some analysts have said it may take as much as $150 billion to resolve all the opioid cases on file.What Bloomberg Intelligence Says:Johnson & Johnson’s settlement of two opioid cases in Ohio, if reflective of a global settlement, is in-line with our expectation that it could pay up to $5 billion. The news, along with its lower-than-expected Oklahoma fine, may indicate J&J won’t have to contribute much more than others based on its ability to pay.\-- Sam Fazeli, senior pharmaceutical analystClick here to view the research“It’s very rare for J&J to do anything else other than litigate these kinds of cases to the bitter end,” said Carl Tobias, a University of Richmond law professor who teaches about mass torts. “I think investors are going to be very happy they are talking global settlement.”Tobias said an Oklahoma judge’s decision to hit J&J with $572 million in damages over its sales of opioid painkillers in that state may have sent J&J an unmistakable signal. That judge acknowledged Tuesday that he made a $107 million error in his damages ruling and cut the award to $420 million.“That ruling may have showed them that no matter where they try those cases, they are going to have trouble persuading judges and juries they shouldn’t be on the hook for the costs of the opioid crisis,” Tobias said.The distributors’ latest proposal is $8 billion higher than the $10 billion offer they made in August. The National Association of Attorneys General, the group sponsoring talks on behalf of more than 35 states, countered with a demand for $45 billion at the time.The drug distributors generate large amounts of cash that could be used to pay a settlement. In its 2019 fiscal year, San Francisco-based McKesson generated $4.04 billion from operations, according to data compiled by Bloomberg. In fiscal 2018, Cardinal brought in $2.77 billion and AmerisourceBergen $1.41 billion.QuickTake: The Opioid CrisisStates, cities and counties claim opioid makers, including J&J and Teva, downplayed the painkillers’ health risks and oversold their benefits through hyper-aggressive marketing campaigns. Distributors, considered to have the deeper pockets by plaintiffs’ lawyers, are accused of ignoring red flags about misuse of the painkillers and illegally flooding states with pills.For example, one pharmacy in Kermit, West Virginia -- population 400 -- received almost 5 million doses from McKesson between 2005 and 2006, records show. About 30 miles (50 kilometers) from Kermit, the company shipped more than 5.8 million doses to a pharmacy in Mount Gay -- population 1,800 -- between 2006 and 2014. Another 2.3 million doses went to a pharmacy three miles away.McKesson, Cardinal Health and AmerisourceBergen, along with other distributors, shipped a total of 76 billion pain pills over a six-year period starting in 2006, according to the U.S. Drug Enforcement Agency. The companies deny the governments’ allegations and have advanced dozens of legal and factual defenses, saying they complied with all state and federal laws.Teva has been grappling with billions in debt as well as thousands of opioid suits over its generic painkillers. Teva’s 2015 acquisition of Allergan Plc‘s generic business for $40.5 billion pushed the company’s debt load from $10 billion to $35 billion.Chief Executive Officer Kare Schultz, who stepped into his role in late 2017, is trying to right a company hurt by falling margins on generic drugs and rapidly declining sales in its best-selling Copaxone multiple-sclerosis drug. Last year, the drugmaker cut its net debt by almost $1 billion to $28.4 billion.Teva officials have told the attorneys generas’ lawyers that the company’s debt load leaves little free cash flow for an opioid settlement, the people said. That’s why it’s offering access to free Narcan, an overdose drug, the people said. In April, the U.S. Food and Drug Administration approved Teva’s request to start selling a generic version of Narcan, a nasal spray version of the opioid-overdose reversal agent Naxalone.In August, Teva officials set aside $646 million to help pay legal expenses related to its alleged role in the abuse of the addictive painkillers linked to tens of thousands American deaths annually. Those funds weren’t devoted to paying settlements.Teva’s bid to use the drugs-for-dismissal model to resolve its opioid liability may indicate the company could face bankruptcy if the proposal gets turned down, said Elizabeth Burch, a University of Georgia law professor who teaches about product-liability law.“I guess free drugs are better than nothing, but it’s not perfect,” Burch said in an interview. “The real question is whether the local governments want to keep this company out of bankruptcy by accepting this offer.”(Updates stock-price movements beginning in fourth paragraph)To contact the reporters on this story: Jef Feeley in Wilmington, Delaware at firstname.lastname@example.org;Riley Griffin in New York at email@example.comTo contact the editors responsible for this story: David Glovin at firstname.lastname@example.org, Timothy Annett, Mark SchoifetFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Emergent's (EBS) vaccine portfolio holds great potential with the newly-acquired Narcan nasal spray progressing well. Severe rivalry remains a concern though.
Teva Pharmaceutical Industries Ltd. (TEVA) closed at $6.98 in the latest trading session, marking a +0.14% move from the prior day.
Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) today announced that it will issue a press release on its third quarter 2019 financial results on Thursday, November 7, 2019 at 7:00 a.m. ET. Teva will conduct a conference call and live webcast on the same day, at 8:00 a.m. ET. A live webcast of the call will also be available on Teva's website at: http://ir.tevapharm.com.
The FDA approval of the self-administration option and auto-injector of AstraZeneca's (AZN) Fasenra is supported by data from the phase III GRECO study and the phase I AMES study
(Bloomberg Opinion) -- The markets are sending a message to drugmakers facing opioid litigation: Settle up.Johnson & Johnson late Tuesday announced its first legal settlement over the pharmaceutical giant’s alleged role in spurring the opioid crisis, a modest $20 million deal with two Ohio counties. The agreement will see it avoid a risky trial later this month and the company’s stock rose as much as 3.6% in early trading. J&J’s deal came a day after a report that drugmakers may use Purdue Pharma’s bankruptcy as a model for a broader settlement, news that briefly boosted smaller companies including Mallinckrodt PLC, Teva Pharmaceutical Industries Ltd, and Endo International PLC. The profusion of litigation, the size of the addiction crisis, and public fury have created a liability of unknown size that could take years to resolve. Thousands of lawsuits remain, and a global deal that resolves a big chunk of those suits will be challenging to negotiate. J&J’s settlement cracks the door, however, and investors want resolution. Getting something done and moving on should be a priority for drugmakers over pinching pennies. Banding together could help ensure that no drugmaker would be left behind to fight through every lawsuit or face a potential liability disproportionate to its relative role in the crisis. It won’t be cheap, and it won’t be easy, but it would be worth the effort.A global settlement, even if it involves a substantial cash payout, would go a long way toward helping drugmakers move forward from the crisis, while investors would finally be able to put a number on the liability instead of fearing the uncertain result of every individual trial. A settlement also could reduce the risk of bankruptcy for indebted members of the group, cutting another asymmetric risk. As for the other side, the parties affected by the crisis should fight aggressively for a large settlement. The amount of money needed to combat the crisis and build a real treatment infrastructure in America demands it. Beyond that, it’s worth fighting for a figure large enough to deter the kind of behavior and negligence that allegedly spurred the crisis. That doesn’t mean they should disdain a global settlement and the idea of compromise. A broad deal may be governments' best avenue to get cash quickly so they can help people in need as soon as possible. Stretching the fight out may not result in a larger payout, and could result in some communities getting nothing. We’re still a long way from a significant deal; many states oppose even the single-company version of Purdue’s bankruptcy. Hopefully, both sides will realize the benefits of avoiding a multi-year battle and make further progress. To contact the author of this story: Max Nisen at email@example.comTo contact the editor responsible for this story: Beth Williams at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Max Nisen is a Bloomberg Opinion columnist covering biotech, pharma and health care. He previously wrote about management and corporate strategy for Quartz and Business Insider.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) today announced that new AUSTEDO® (deutetrabenazine) data will be presented at the 32nd annual Psych Congress, October 3-6, 2019 in San Diego, California.
Teva Pharmaceutical Industries (NYSE and TASE: TEVA) announced today the retirement of Dr. Carlo de Notaristefani, and the appointment of Eric Drapé as Executive Vice President, Global Operations. Mr. Drapé will be based out of Teva’s global headquarters in Israel. "After more than seven years leading Teva Global Operations, Carlo de Notaristefani, will retire from Teva," said Kare Schultz, Teva's President and CEO.
Teva Pharmaceutical Industries Ltd. (TEVA) closed at $6.76 in the latest trading session, marking a -1.74% move from the prior day.
(Bloomberg) -- Makers of prescription painkillers are climbing higher after Dow Jones reported that the companies are looking to use Purdue Pharma LP’s bankruptcy as a model to settle their own lawsuits.Mallinckrodt Plc and Endo International Plc jumped Tuesday morning as Wall Street gauged what shape their settlements might take. The two, plus drugmaker Teva Pharmaceutical Industries Ltd., are facing similar claims related to their role in sparking the opioid crisis.Shares of Mallinckrodt and Endo rose by at least 10% while Teva gained a much as 7.1%. Mallinckrodt has shed more than 90% of its market value in the past year and Endo and Teva are down 78% and 66%, respectively.Companies that distributed opioids -- McKesson Corp., Cardinal Health Inc. and AmerisourceBergen Corp. -- edged higher as the Purdue idea may signal progress in resolving lawsuits.(Updates share movement in third, fourth paragraph)To contact the reporter on this story: Bailey Lipschultz in New York at email@example.comTo contact the editors responsible for this story: Catherine Larkin at firstname.lastname@example.org, Scott SchnipperFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Mallinckrodt (MNK) gains on the execution of a settlement agreement with Cuyahoga and Summit Counties in Ohio concerning the lawsuits pending in MDL.
Endo International Plc, Johnson & Johnson and other drugmakers that face litigation over the opioid crisis are exploring a way to settle the cases by participating in Purdue Pharma LP's bankruptcy, the Wall Street Journal reported, citing internal documents and a person familiar with the matter. Five drugmakers battling the cases - Endo, J&J, Teva Pharmaceutical Industries Ltd , Allergan Plc and Mallinckrodt Plc - are looking to enact a global settlement of the litigation that would be implemented through Purdue's Chapter 11 case, the WSJ reported citing a person familiar with the matter. OxyContin maker Purdue filed for bankruptcy protection in September, succumbing to pressure from more than 2,600 lawsuits alleging the company helped fuel the deadly U.S. opioid epidemic.
Teva Pharmaceutical Industries Ltd. (TEVA) closed at $6.96 in the latest trading session, marking a -1.14% move from the prior day.
The Zacks Analyst Blog Highlights: Berkshire Hathaway, Apple, American Express, Kraft Heinz and Teva Pharmaceutical