This is a huge deal and hopefully indicates an uptick in the M&A markets and thus stimulating this slowed down sector of Wall Street.
Bristol-Myers Squibb agreed late on Friday to buyAmylin Pharmaceuticals, the maker of a promising new diabetes drug, in a complicated deal that is valued at about $7 billion.
To help finance the transaction, Bristol-Myers is teaming up with AstraZeneca, which will pay about $3.4 billion in cash and will share in the profits from Amylin’s sales.
Mark Schoenebaum, an analyst at ISI Group, said the deal made sense for Bristol-Myers.
“I like it as a really creative way to do it,” he said. “I like the fact that they split the deal with AstraZeneca. I can’t remember seeing that before.”