Reuters - Video

EDITION: U.S. | U.K. | IN

Finance Videos

Breakingviews: What next for AstraZeneca?

Wednesday, May 21, 2014 - 03:41

May 21 - After the latest failed bid, some shareholders want Astra to talk to Pfizer now. But Breakingviews says there’s no honest route to a higher bid until August. An amicable cooling-off period is best.

▲ Hide Transcript

View Transcript

Breaking news says AstraZeneca and finds and eating fresh starts. They say in the -- Clinton web grapes which is breaking these columnist joins me now Clinton thank you so much joining us shareholders now waiting Indiana hands dusty trying to push. AstraZeneca to the negotiation table objects again are -- anyway well. Actually I mean this seems to be its facilities schools a -- -- one is that finds it didn't offer an often Napster was quite writes about them away in the -- school of thought is that. I'm a deal wasn't. That he's talked to enough foreign bonds it was coolest kind of prevents that they are happening. What -- is looking at today is really the mechanics of what happens next with an -- thing I did it. Today could be in deep hole to be exploits in the UK system which would allow you. -- board to recommend it offers 55. Wolf. 55 -- chat. With the implicit understanding that -- once the two sides kept talking back could be increased. We -- saying now let's see the simplest thing to do would be for both sides that. Downed tools and -- distance off fresh round of talks that lesson basically cool off give it some time. And then come back to the negotiation table exactly the issue here is that the take -- -- power which polices and -- in the UK is very. -- based on the kind of principles as well as. Rules and what they want to avoid here is something that this. This is somewhat dishonest suit aboard recommending an off vote on the understanding that a higher -- would come late says it's not something that wouldn't. Possible estimate that we think. What's become more difficult than I think his son and it Cameron -- talking about some you know bringing more of these national interest rules. To UK. Arguably but I didn't think a great deal in the kind of legislative. Environment will change in three months pretty sure. Space of time there is also they'll always a question about whether. Deals have momentum and if you lose that momentum is obvious kind of regain that. And Clinton what other options does Pfizer have if it doesn't get its hands on AstraZeneca have been putting this question -- guests. Last week and this week and they -- saying shine at -- half so personalized web. It's. Say they're one option would be to pursue another kind of big emanate target in the fact that. Pfizer has gone off -- is a pretty big. Admission the status quo is -- I -- the other things do would be to split the company up so they have in the past. Floated the idea of a three way. Split and that would allow invest is kind of path to pick whether they want an end to business that focuses on developing new drugs that -- patented or whether it. -- war or alternates the other investors could go for. Drugs that Iraq to patent -- very reliable revenue streams and it -- a company has -- to be able to domicile hair. I'm sorry yes say one of their big points faster take it would be that you could then benefit from tax and mission which means you could. And at this essentially pay a low pay you know a British taxes rather in the US taxes. So I do when you talk about a lineup of potential alternative targets you need to think. On the very Manny aside from arguably -- Smithkline that would offer the same sort of UK tax benefits. But we have to leave it -- my thanks to Clinton went from breaking piece full agenda assessing financial inside what I US breaking news show everyday at told says he Easton seventeen SC BST. I'm inching along this is what is.

Breakingviews: What next for AstraZeneca?

Wednesday, May 21, 2014 - 03:41

Top News »

The Exchange »

Moving Pictures »