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Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?

To: Zeev Hed who wrote (13528)	12/14/2001 12:26:30 PM
From: Justa Werkenstiff	Read Replies (1) \| Respond to of 99280

Zeev: Re: "You might very well be right, the trading today is very narrow." Doji day on the Comp. so far for sure. Upside seems limited even if 1934 is held. Downside, well, I think we know that is pretty big.

To: Zeev Hed who wrote (13528)	12/14/2001 12:30:16 PM
From: hotlinktuna	Read Replies (2) \| Respond to of 99280

Zeev...my latest buy: IPXL 12.45 here's why I got in.... DECEMBER 24, 2001 INSIDE WALL STREET Impax: A Teva Target? Gene Marcial Printer-Friendly Version E-Mail This Story Chart: A Steep Decline INSIDE WALL STREET Impax: A Teva Target? Buyout Buzz at Countrywide Getting Up Steam at Key Energy Inside Wall Street Archive • Find More Stories Like This Takeovers are rampant in the medical and biotech world: This year has seen 200 deals worth more than $7 billion--capped by Millennium Pharmaceuticals' recent move to buy Cor Therapeutics for $2 billion. This column spotted Cor as buyout bait (BW--Oct. 29). Who's next? One target may be Impax Laboratories (IPXL ), which makes specialty prescription drugs using advanced formulation and drug-delivery technologies. The likely buyer: Israel's Teva Pharmaceutical Industries, one of the world's top makers of generics. In June, Impax and Teva signed a strategic partnership giving Teva 10-year rights to market 12 Impax products, including 5 of Impax' 13 accelerated new drug applications awaiting Food & Drug Administration approval. In exchange, Teva agreed to buy $15 million worth of Impax stock, now trading at 11: $3.75 million per quarter from September, 2001, through June, 2002. Teva paid 15.73 a share for the first batch. The stock deal comes on top of $22 million in milestone payments to Impax--plus sharing of development and marketing costs. "Impax is a perfect fit for Teva, which lacks the technologies [Impax has]," says analyst Adam Greene of Dresdner Kleinwort Wasserstein, who rates Impax a strong buy. His price target is 18, but in a buyout, he thinks it is worth much more. Impax CEO Barry Edwards says Teva hasn't brought up the subject. Impax' full pipeline is one big reason behind Teva's pact. Impax develops products by reengineering drugs already on the market--including a generic version of Prilosec, expected to be launched in late 2002. It also uses its drug-delivery technologies to improve existing medicines. Greene sees Impax making money by 2003, earning 67 cents a share--after the launch of 10 generic drugs. Teva did not return calls. By Gene G. Marcial