Teva's share price has fallen steeply in New York following reports in the US media of a pending investigation into Teva, Mylan and altogether more than twelve generic pharmaceuticals companies on suspicion of price fixing. Teva is currently more than 10% off on the New York Stock Exchange. In Tel Aviv, Teva fell 2.6% today.
Bloomberg reports that the US Justice Department is investigating possible price collusion, and that charges will probably be made by the end of the year. According to Bloomberg. Mylan and Teva Pharmaceuticals have disclosed subpoenas and are cooperating with the investigation.
Bloomberg says the antitrust probe is about two years old and covers some two dozen drugs A grand jury is examining if executives agreed to raise prices.
Teva said in a statement, "Teva is not aware of the existence of any facts that will cause exposure of the company in connection with subpoenas to give evidence that have been reported."
For its part, Mylan responded to the reports as follows: "Mylan is and has always been committed to cooperating with the Antitrust Division’s investigation. To date, we know of no evidence that Mylan participated in price fixing."
Published by Globes [online], Israel business news - www.globes-online.com - on November 3, 2016
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