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Allergan Rises on Sanofi Takeover Rumors

Shares of Allergan Inc., the Irvine maker of Botox and other drugs, rose Friday on rumors that it could be a takeover target by a larger drug maker.

Allergan’s stock closed up 8% with a market value of $19 billion in Friday New York trading.

Sanofi-Aventis SA of France is looking at several potential deals, including one or two that could be worth at least $15 billion, according to a Reuters report.

Reuters quoted an unnamed source that said Sanofi’s board met in Paris and discussed several acquisition options, but no decision’s been made on possible targets.

Analysts quoted in reports said that Allergan, along with two Cambridge, Mass.-based drug makers, Biogen Idec Inc. and Genzyme Corp., were possible Sanofi targets.

“The market is saying it thinks it’s either Allergan, Biogen or Genzyme. Right now, this is all just speculation,” analyst Les Funtleyder of New York-based Miller, Tabak & Co., told Reuters.

Allergan, Biogen or Genzyme would add to Sanofi’s pipeline, Funtleyder said.

Allergan, which makes medical cosmetic products as well as eye and skin drugs, has been the subject of occasional takeover buzz in recent years.

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