News Hits: Teva Pharmaceutical Industries (NYSE:TEVA) announces its restructuring plan. Key points:
Workforce to be reduced 25% (14K positions globally).
Dividend suspended on ordinary shares and ADSs. Dividends on mandatory convertible preferred shares will be evaluated on a quarterly basis.
No annual bonuses will be paid this year.
Organizational structure to be simplified via reducing layers of management, streamlining processes and divesting/closing certain R&D facilities.
Total cost base to be reduced $3B (from a base of $16.1B this year) by the end of 2019. More than half should be achieved by the end of next year.
Restructuring charge of $700M to be recorded in 2018.
2018 guidance will be provided in February with the release of 2017 results. Color on longer-term strategic direction will come later in 2018.
Shares are up 3% premarket on modest volume.
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Proteostasis Therapeutics (NYSE:PTI) prices its public offering of 8M shares of common stock at $5 per share. Underwriters over-allotment is an additional 1.2M shares. Closing date is December 18.
Net proceeds will fund clinical trials, working capital and general corporate purposes.
Yesterday's close was $5.47.
Shares are down 1% premarket on modest volume.
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Valeant Pharmaceuticals (NYSE:VRX) is down 5% premarket on modest volume on the heels of a downgrade to Underweight with a $12 (46% downside risk) price target by JPMorgan.
Analyst Chris Schott cites valuation and "too high" 2018 estimates.
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The FDA accepts for review Bristol-Myers Squibb's (NYSE:BMY) marketing application seeking approval for the combination of Opdivo (nivolumab) and Yervoy (ipilimumab) to treat intermediate- and poor-risk patients with advanced renal cell carcinoma (RCC), a Breakthrough Therapy indication.
The agency's action date is April 16, 2018.
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The FCC is set to repeal net neutrality rules today requiring internet providers to treat all traffic on the web equally and is also expected to remove the Internet's classification as a utility.
Chairman Ajit Pai maintains that current rules went too far in imposing potentially stifling regulatory burdens on broadband providers, while consumer advocates and tech companies feel they protect Internet users and website owners.
Related tickers: T, VZ, TMUS, S, CMCSA, CHTR, ATUS, CTL, FTR, CCOI, DISH, NFLX, ELNK
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