Actelion Stock Up As Johnson & Johnson Confirms Talks For Potential Takeover

(RTTNews) - Shares of Swiss bio-pharmaceutical company Actelion Ltd. (ALIOF.PK) gained around 17 percent on Friday after drug major Johnson & Johnson (JNJ) confirmed its preliminary talks with Actelion regarding a potential transaction.

In its statement, Johnson & Johnson said there can be no assurance any transaction will result from these discussions. The company does not intend to make any additional comments regarding these talks unless and until it is appropriate to do so, or a formal agreement has been reached, it said.

In Zurich, Actelion shares climbed 16.8 percent to 184.50 Swiss francs, valuing it at almost 19.9 billion francs.

Earlier, Bloomberg reported, citing people familiar with the matter, that Johnson & Johnson has approached Actelion for a potential takeover, and that Actelion is working with an adviser to explore options.

While Actelion, Europe's largest biotech firm, has been named as a potential takeover target for years, Chief Executive Officer and co-founder Jean-Paul Clozel has previously said the company planned to remain independent. The 61-year-old, who is one of Actelion's largest shareholders, may now be more open to entertaining a sale at a sufficient premium, the report said.