Given Imaging

M&A status: Acquisition potential is high. The Israeli maker of the PillCam endoscopic camera capsules announced in October that it was pursuing "strategic options" including a possible merger with a number of unnamed companies that expressed interest or an outright sale. Given ($GIVN) couched its announcement by mentioning that it was also looking to acquire more companies, but at this point it looks like Given's outright sale might be more likely. Investors have been frustrated with the company, which announced midyear that it would seek FDA approval for its PillCam Colon 2 device to visualize the colon for patients who can't have or finish a colonoscopy, rather than pursuing a general, broader screening indication.

Likely acquirer: A few days after its initial "strategic options" announcement, Israel's Globes newspaper reported that a unit of Japan's Fujifilm Holdings was considering paying as much as $750 million for Given, 34% higher than its $561 million market cap. The article notes that Given has received several inquiries about a possible acquisition from other unnamed companies. But the Fuji deal would make sense because Fujifilm has a long-standing relationship with the company, having distributed PillCam in Japan since 2009. Why the sale? Globes notes that Given needs cash.

For more:
Given Imaging soars after filing for Japanese approval
Investors punish Given Imaging for FDA pathway, but analysts say 'relax'

Given Imaging