SHAREHOLDERS in US drug manufacturer Actavis could get a 17pc higher return on their stocks if the company buys Irish-based contraceptives-maker Warner Chilcott. The companies are in early-stage negotiations.
This would reduce Actavis' costs by as much as $240m (€186m) as well as expanding its women's health franchise. It stands to benefit from the tax breaks Warner Chilcott enjoys as an Irish-registered business. RBC analyst Shibani Malhotra says the purchase could cut Actavis' tax rate from 28pc to 23pc.