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Thursday, 09/10/2015 12:02:58 PM

Thursday, September 10, 2015 12:02:58 PM

Post# of 461931
Gilead just issues $10 billion in debt at about 2.5% average int.....but interestingly, Gilead has about $14 billion in cash available already (so $24 billion now including the debt issued) and is generating $5.5 billion per quarter in free cash flow already...so the big question, why issue the 10 billion debt? It is obvious to me that first of all they are taking advantage of current low interest rate window to cash up big time...to get ready for an acquisition (s)...... IMO also they are the number one contender to making a purchase offer on AVXL...Why Gilead? Well they move much quicker than the likes of Pfiser and Alli and others in the field and they trust their internal scientific judgement and common sense ...
IMO Pfiser would have the most synergy but not as fast moving as Gilead on big opportunities...Lastly it is obvious Gilead is more of an elephant hunter than a antelope hunter...
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