Allergan Planning Sale of its Teva Stock
For the third quarter of 2017, Allergan reported an operating loss of $4.02 billion, $1.3 billion of which is due to the depreciation of its Teva securities.
Pharma Company Allergan PLC is planning to sell 100 million shares it received from Teva Pharmaceutical Industries Ltd. as part of Teva's 2016 acquisition of Allergan's generic arm Actavis.
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According to the deal’s terms, Allergan could not sell the shares for 12 months, a period that ended on August 2. At the time, Teva paid $33 billion in cash and the rest with a 9.8% stake in the company, then worth $5.3 billion.
Allergan announced the sell, estimated to occur over a few quarters, in a conference call with investors today after publishing its quarterly reports.For the third quarter of 2017, Allergan reported an operating loss of $4.02 billion, $1.3 billion of which was due to a depreciation of its Teva Holdings. Since July 2015, Teva’s stock fell 80%. In past statements, Allergan said it views the Teva securities it received as a short-term investment, and that it intends to sell the shares once the lockup period expired.