CNBC: Allergan-Shire Deal Is DOA

Allergan plc AGN stock was volatile Thursday after CNBC reported the firm will not pursue a Shire PLC (ADR) SHPG takeover, citing sources. 

The Irish pharmaceutical had published a statement earlier in the day to deny rumors of an offer and confirm that it was considering a bid as part of its strategic turnaround.

Allergan did not respond to request for comment, but will officially announce its intentions for Shire before May 17.

The market was not been receptive to the prospects of an Allergan-Shire merger, and the M&A talk prompted an 8.8-percent selloff in Allergan earlier Thursday.

The potential target made headlines this week with a $2.4-billion sale of its cancer treatment business and a rejection of a $60-billion buyout bid from Takeda Pharmaceutical.

Allergan shares were down 3.88 percent at the time of publication Thursday, while Shire was trading down slightly at $162.61 after reaching as high as $175.30 Thursday. 

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