Teva To Buy Auspex In a $3.2 Billion Deal

Teva Pharmaceutical announced on Monday an agreement to buy Auspex Pharmaceuticals in a deal valued at $3.2 billion, as Teva looks to bulk up its position in the movement disorders space. As part of the deal, Teva is offering to pay $101 a share in cash for each Auspex share outstanding, which represents a 42% premium to Friday's closing price of $70.91. Teva expects the deal to reduce adjusted earnings per share slightly in 2015 and 2016, and to start contributing to revenue in 2016, and to adjusted earnings in 2017. Teva's stock climbed 1.7% in premarket trade. Auspex's stock, which began trading publicly in February 2014, had closed at a record high of $86.72 on March 19. It was still inactive ahead of the open.