Boston, MA 05/23/2014 (wallstreetpr) – The Israel-based drug company Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA) has taken several doses of its own medicine in recent times. The company that thrives in developing and marketing generic drugs has in recent times until last week tried to stop competitors from developing a copycat of its bestselling Copaxone drug.
A U.S. court rejected a plea by Teva to compel the U.S. Food and Drug Administration to imposed stringent requirements on companies seeking to bring a generic version of Copaxone. At least three companies including Novartis AG (ADR) (NYSE:NVS), Mylan Inc (NASDAQ:MYL) and Momenta Pharmaceuticals Inc (NASDAQ:MNTA) are reportedly developing copycat version of Copaxone. However, their actions are causing sleepless nights for Teva that fears intense competition for its top revenue earner.
The judge in the case declined to side with Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA) over the issue. In any case, none of the generic drug companies has already submitted their application for approval before FDA, therefore, making it a premature move to meet the request presented by Teva.
Nonetheless, the challenge is eminent for Teva and looking for opportunities outside its ranks may seem like a good idea.
Looking For Deal In India
Earlier this month media reports resurfaced that Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA) was seeking a deal with one India drug company. The media reports about a possible deal between Teva and Cipla first emerged late last year around November. The company has routinely denied the rumors.
However, in view of the recent developments in the pharmaceutical industry and particularly Teva’s failure to block generic manufacturers of Copaxone, analysts see a deal with India’s Cipla becoming more eminent. Teva reportedly offered $6 billion to acquire Cipla that boasts a strong market base in India and globally.
Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA) is not alone in running for cover in the pharmaceutical world. The industry has been soaked in deals in recent times. Drug companies from Pfizer Inc (NYSE:PFE) to GlaxoSmithKline Plc (ADR) (NYSE:GSK) to Novartis AG (ADR) (NYSE:NVS) and many other others, are either selling underperforming assets or joining forces with peers to avoid potential revenue loss amid widespread patent expiration.