Dallas, Texas 04/17/2014 (FINANCIALSTRENDS) – Ariad Pharmaceuticals, Inc. (NASDAQ:ARIA) share price popped up by a in impressive 6.05 percent during trading on 16th April on the back of continued market rumours that the firm is in the midst of being a target for a strategic buyout by a bigger drug maker.
While there were no specific news snippets from the company either denying or explaining the market murmurs, the drug maker has been at the receiving end of positive coverage by analyst firms. The latest such positive coverage was initiated by HC Wainwright on 15th April. The firm has put out a Buy rating on the stock and has set a price target of $14 per share.
The price target implies a premium of close to 84 percent on its current selling price and has been priced so after taking into account the strong drug pipeline that the Cambridge based drug maker has developed over the past few years.
These analyst upgrades come on the back of the firm strengthening and building out its executive management team in order to maximise its potential. The drug maker had on 2nd April appointed pharma industry veteran Hugh Cole as its Chief Business Officer. He will also hold the designation of senior vice president and will be directly reporting into Ariad Pharmaceuticals, Inc. (NASDAQ:ARIA) Chairman of the Board, President, Chief Executive Officer Harvey J. Berger M.D.
In his welcome address to the new executive, CEO Dr Berger has been quoted to have explained the expectations the company has about the new incumbent by saying that, “Hugh is a thoughtful and experienced executive who brings great value to our leadership team. He will be integral in seeking business and corporate development opportunities for ARIAD, including a commercial partnership for Iclusig® in Japan, as well as helping to further maximize our oncology pipeline.”