8/102 sources · 2 publishersUpdated Oct 27, 17:32 UTC
Jazz Pharmaceuticals to take $755M charge from Actio acquisition, cutting Q3 EPS
Jazz Pharmaceuticals said it will record a $755 million expense related to its acquisition of Actio Biosciences, which will lower both GAAP and adjusted earnings per share by roughly $11 for the third quarter. The company completed the purchase on September 15 and will release its Q3 results on November 2. The expense is not tax‑deductible.
Why it matters
The non‑deductible $755 million charge will depress Jazz's reported earnings, potentially affecting valuation and investor sentiment. The EPS reduction of about $11 per share signals a material hit to profitability for the quarter.
Key facts
- 1Jazz expects a $755 million expense from the Actio acquisition. seekingalpha.com
- 2The expense will reduce third‑quarter EPS by about $11 per share. econotimes.com
- 3The expense is not tax deductible. econotimes.com
- 4Jazz completed the Actio purchase on September 15. econotimes.com
- 5Jazz plans to report third‑quarter results on November 2. econotimes.com
- 6The charge will lower both GAAP and non‑GAAP adjusted EPS. seekingalpha.com
Open questions
- Material 1 states the Actio acquisition price was $1.32 billion, while material 2 says it was $820 million.
Summary written by AlphAI AI Desk from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.