Reuters Health News Summary

AstraZeneca shares plummeted 9% after reports of a potential $400 billion merger with Bristol Myers Squibb, with investors questioning the need for a transformative acquisition.

Following is a summary of current health news briefs.

AstraZeneca investors balk at prospect of $400 billion Bristol Myers pharma deal

AstraZeneca investors punished the pharmaceutical firm on Monday over reports of merger talks with U.S. rival Bristol Myers Squibb that could make one of the world's biggest drugmakers ​with a combined value of nearly $400 billion. Shares in AstraZeneca closed down some 9%, the biggest drop since 2020, as investors and analysts said Britain's biggest drugmaker had little need for ​a transformative acquisition despite potential cost benefits. Bristol Myers shares slipped less than 1% in early trading.

Michigan reports first US deaths ‌in cyclosporiasis ​outbreak

Two people have died from cyclosporiasis in Michigan, the state's health department said on Monday, marking the first fatalities in one of the largest foodborne illness outbreaks in recent U.S. history. Cyclosporiasis, an intestinal illness caused by the Cyclospora parasite, is generally not life-threatening. However, Michigan said the two people who died had significant underlying health conditions that may have been impacted by the disease and related dehydration, according to medical records.

Australia confirms first mass death of seabirds from H5N1 bird flu

Australia warned on Monday against the risk of a wider spread of H5N1 bird flu after its first mass mortality episode among seabirds killed ‌about 50 greater crested terns off the coast south of Adelaide. However, there is no evidence yet of the virus on Australia's farms, many of which have locked down to safeguard poultry flocks since it was first detected in June.

Sandoz agrees $450 million settlement with 43 US states over antitrust claims

Swiss generic drugmaker Sandoz said on Monday that it has entered into a $450 million settlement agreement with 43 U.S. states and territories to resolve litigations concerning alleged anti-competitive conduct in the U.S. market for generic medicines. Under the agreement, the firm's U.S subsidiary is to pay a total of $400 million over seven years starting from 2027, with an additional payment of approximately $50 million to states that settled earlier, Sandoz said.

Supernus, Indivior merge to strengthen neuroscience drug portfolio

Supernus Pharmaceuticals and Indivior Pharmaceuticals said on Monday they had agreed to an all-stock merger that would create a company with about $2.2 billion ‌in annual revenue and a portfolio of medicines for neurological, psychiatric and addiction-related conditions. Shares of Supernus were up over 20% and Indivior shares were nearly 10% higher in premarket trading.

Curium deepens radiopharma heft with up to $8 billion deal for Lantheus

Radiopharmaceutical company Curium has agreed to buy peer Lantheus Holdings in a deal worth up to $8 billion, as the private equity-backed firm looks to expand its footprint ‌in the fast-growing sector. Radiopharmaceuticals, which use radioactive compounds to diagnose and treat diseases such as cancer, have become one of the hottest areas in healthcare dealmaking.

India bars some Diageo, Inbrew liquor over artificial flavouring

India's food safety regulator has barred the sale of some popular whiskies and rum made by Diageo's India unit and India's Inbrew Beverages for using artificial flavouring instead of proper ageing and ingredients to achieve their taste and aroma. India is one of the world's biggest alcohol markets, with total annual sales estimated at $40 billion. Diageo is the nation's biggest alcohol company by market share, with its popular brands competing with the likes of Pernod Ricard.

For GLP-1 users, the in-store clothes shopping trip is back

Nora Nye, 58, is refreshing her wardrobe as she sizes down for the first time in over three decades after losing 80 pounds on weight-loss drug Mounjaro. Earlier this year, the Denver bankruptcy lawyer walked into a Macy's and found herself overwhelmed. "Retailers are going to have to be ready for an influx of people getting into ⁠those sizes, but also ​needing help with it because we just don't know where to go," said Nye, who started taking the drug ⁠19 months ago after a diabetes diagnosis.

GSK India first-quarter profit rises on steady vaccine demand

Vaccine maker GlaxoSmithKline Pharmaceuticals reported a 15.7% rise in first-quarter profit on Monday, aided by stable demand across its vaccine and drug portfolio, including respiratory and specialty medicines. Here are some more details:

California's highest court rules for Gilead in 'duty to innovate' case

California's highest court on Monday ruled in favor of Gilead Sciences in a closely watched case addressing whether manufacturers of drugs that are considered safe must try developing drugs that could be ⁠safer. In a 6-1 decision, the California Supreme Court ordered the dismissal of negligence claims against Gilead by an estimated 24,000 patients using an HIV drug it produced, over its decision more than 20 years ago to stop developing an alternative drug that had fewer side effects.

AstraZeneca held talks with Bristol Myers Squibb on $400 billion megadeal, source says

AstraZeneca Plc and Bristol Myers Squibb held preliminary discussions about a possible combination that would create one of the world's biggest pharmaceutical companies ​with a combined value of nearly $400 billion, according to a person familiar with the situation. The Financial Times first reported the news. Reuters could not determine whether the talks are ongoing.

Vertex raises annual revenue forecast on cystic fibrosis drugs strength

Vertex Pharmaceuticals on Monday raised the upper end of its annual revenue forecast, banking on robust demand for its cystic fibrosis treatments. The company expects ⁠its annual revenue to be between $13.1 billion and $13.2 billion, compared with $12.95 billion to $13.1 billion previously. Analysts on average expect 2026 revenue of $13.07 billion, according to data compiled by LSEG.

Latigo, BlossomHill launch US IPOs as biotech listings rebound

Drug developers Latigo Biotherapeutics and BlossomHill Therapeutics launched their U.S. initial public offerings on Monday riding the wave of biotech listings. Biotech IPOs are tapping renewed capital flows, but the rally could stall if continuing Middle East tensions fuel inflation, keep interest rates higher for longer and raise funding costs for cash-hungry drug developers.

States sue over ⁠Trump ​policy of sharing benefits data with immigration authorities

A coalition of Democratic-led U.S. states sued the Trump administration on Monday to block a new policy allowing federal immigration authorities to receive information about low-income families with children enrolled in a cash-assistance program. The lawsuit marked the latest in a series of legal battles over efforts by the administration to give immigration officials access to sensitive personal data on millions of people held by other government agencies.

KKR to take medical-equipment maker Integer Holdings private in $5.7 billion deal

KKR will take medical-device manufacturer Integer Holdings private in an all-cash deal valued at about $5.7 billion, expanding its healthcare portfolio with the acquisition of a key supplier to the medtech industry. Shares of Plano, Texas-based Integer Holdings rose 2.6% in early trading.

Fresenius Medical Care beats quarterly profit estimates, sticks to 2026 outlook

Fresenius Medical Care on Monday ⁠reported second-quarter operating income well ahead of market expectations and reaffirmed its full-year outlook, as its cost-cutting programme and favourable U.S. reimbursement rates offset a deepening decline in patient treatment volumes. The world's largest dialysis provider posted operating income excluding special items of €569 million for the three months ended June 30, above a consensus forecast of €515 million. Revenue rose to €4.86 billion, edging past estimates of €4.79 billion, while basic earnings ⁠per share of €0.81 beat the €0.68 consensus.

Explainer-What to know about the US outbreak of cyclosporiasis intestinal illness

The U.S. Food and ⁠Drug Administration, Centers for Disease Control and Prevention and dozens of states are investigating a surge in cases of cyclosporiasis intestinal illness. Michigan, the hardest-hit state, has now reported two deaths and more than 11,000 cases as it searches for links beyond the initial cases tied to lettuce. The outbreak, one of the largest U.S. cyclosporiasis outbreaks in recent years, has been linked to shredded iceberg lettuce served at Yum Brands' Taco Bell restaurants in nine states. Investigations are continuing into other sources.

Analysis-Obesity battle heats up again as Novo claws way back into race with Lilly

Novo Nordisk investors have found little cause for ‌optimism during a bruising two-year period of profit warnings, leadership upheaval and a ‌sliding share price as rival Eli Lilly streaked ahead. Now they may have reason for hope. Despite Novo having lost ground in injectable GLP-1s in recent years, the Danish obesity drugmaker is getting a boost from ​its new Wegovy weight-loss pill that is holding onto its lead against Lilly's more recently launched Foundayo.