Talk grows of Teva offer for Mylan but Coury doesn't see a fit

Israel's Teva Pharmaceutical Industries ($TEVA) is reported to be considering a $34 billion takeover of British-based Mylan ($MYL). But if it indeed is, the takeover would have to be a hostile one given Mylan's strongly worded response to the reports.

Citing only "people with knowledge of the matter," Bloomberg reported the story and quoted several analysts who said such an acquisition was just what Teva needed to do.

Mylan Executive Chairman Robert Coury

Mylan Executive Chairman Robert Coury demurred in a response within hours of the publication: "such a combination is without sound industrial logic or cultural fit." Targeted companies usually decline to comment on what Coury labeled a rumor that "has been circulating for some time."

Coury said Mylan had considered such a merger itself and its study reached the conclusion "there would be significant overlap in the companies' businesses and we believe that it is unlikely that any such combination could obtain anti-trust regulatory clearances."

For its part, Mylan was interested only in its own week-old $28.9 billion bid to acquire Ireland's Perrigo ($PRGO), which also could have to be a hostile one. Anyhow, Coury said, Mylan has received no bid from Teva and Mylan would henceforth zip its lip on the matter.

Teva has had nothing to say since the reports, but plenty of analysts were happy to map out such an acquisition for the two drugmakers.

- here's the story from Bloomberg
- and the Mylan release