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Fly News Breaks for June 25, 2019
KALA, TXMD, AERI, RVNC, ABBV, AGN, EOLS
Jun 25, 2019 | 13:26 EDT
After AbbVie (ABBV) announced its intention to acquire Allergan (AGN), Stifel analyst Annabel Samimy said the former clearly sees the latter's Medical Aesthetics business "as a premier, durable, cash-pay franchise and a leader in its field." However, she noted that AbbVie committed to keeping it as a separate business under the Allergan name, which leads Samimy to believe that a spinoff of aesthetics remains a possibility. She also said she would expect "meaningful distraction" at Allergan, "as typical in the midst of an acquisition," which can benefit competitor Evolus (EOLS) as it launches Jeuveau. Samimy, who concluded that she sees today's news potentially bringing interest back to the "washed out" biopharma group, names Revance (RVNC), Aerie Pharmaceuticals (AERI), TherapeuticsMD (TXMD) and Kala Pharmaceuticals (KALA) as being among the potentially attractive targets.
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