As previously reported, Bernstein analyst Aaron Gal downgraded Allergan (AGN) to Market Perform from Outperform as spread seems fair given sector volatility. The analyst notes that Allergan stock stabilized at about $165 reflecting 9% spread versus takeout price at current Abbvie (ABBV) stock price and 75%-80% odds the deal will close

AbbVie announced positive topline results from LEVEL UP, an open-label, efficacy assessor-blinded head-to-head Phase 3b/4 study that evaluated the efficacy and safety of upadacitinib versus dupilumab in adults and adolescents with moderate-to-severe atopic dermatitis who had an inadequate response to systemic therapy or when use of those therapies was inadvisable. In the LEVEL UP study, upadacitinib showed superior efficacy versus dupilumab in the primary endpoint, demonstrating that a significantly higher proportion of patients simultaneously achieved both a 90% or greater reduction in Eczema Area and Severity Index and a Worst Pruritus Numerical Rating Scale of 0 or 1 at Week 16.