"Over the weekend, Roche ($RHHBY) shares were buoyed after CEO Severin Schwan provided this unassailable assessment of the pharma giant's takeover strategy: "We look at acquisitions not only from a strategic standpoint. It must also be a cultural fit and be worth it financially," Schwan said, according to a report from NZZ am Sonntag.
That last remark about financial value seems to some analysts to bear--at least slightly--on whether Roche will actually make an offer on Alexion ($ALXN), which today has a market value of $21.4 billion. While the biotech company has experienced blockbuster success with its rare disease drug Soliris and has a promising pipeline, a long lineup of analysts has already dissed the idea as wildly overpriced for Roche."
But HALO with it's near $1B Market Cap might be negotiated for a reasonable multiple to be determined by the poison pill wielding board- Roche is going to be paying milestones and royalties for years to come- might want to prepay now.