so I did a little more research - the average treatment in Europe is about $50K per patient. There are probably 40-50K patients globally. This was just approved in October, so JAZZ snatched it up immediately. Ireland has a 15% tax rate versus Italy's 50+%, so it instantly makes this drug much more profitable. If they get 20,000 patients a year this is a billion dollar drug. They paid 1X sales. This purchase should add another 2 billion to their market cap, which brings the price near $150.
GENT has a drug for hepatic veno-occlusive disease (VOD), and it is estimated that 19,000 get that condition in Europe alone. $1 billion for this company is a steal! That's why the market is reacting the way it is. This also makes JAZZ that much more attractive as a takeover target itself.
congratulations - great move! I didn't follow my own advice. I bought 2000 shares at $24 and said my short term target was $36. It hit $36 and I decided that ENTA was still undervalued. Bam. I can always congratulate a decent short.