Deals
Abbvie Drops by a Record as Allergan Deal Fails to End Doubts
- Deal is second large pharmaceutical merger so far this year
- Allergan will get $188.24 in cash and stock, a 45% premium
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AbbVie Inc. agreed to pay $63 billion for rival drugmaker Allergan Plc, the latest merger in an industry where some of the biggest companies have been willing to pay a big premium to resolve questions about their growth prospects.
The price tag caused heartburn on Wall Street, and AbbVie had its worst day of trading since it was spun off from former parent Abbott Laboratories. The stock closed down 16% to $65.70 in New York.