GlaxoSmithKline reportedly running the rule over US rival

GlaxoSmithKline is studying a possible bid for US rival United Therapeutics, The Evening Standard reported citing City sources.

If the report was accurate, the London-based outfit would be up against rival suitors such as Gilead Sciences and Novartis.

Four out of five of the products marketed by the US company were treatments for pulmonary arterial hypertension, with the other designed for use by pediatric cancer patients.

Ironically, it was United that bought Glaxo's own PAH treatment after it was deemed unviable.

Now, according to the same sources cited by the Evening Standard, United was likely to attract a valuation of up to $200 a share, which would translate into a price tag of approximately $8.7bn, versus a market capitalisation of roughly $5.52bn as of the previous day's close.

As of 1548 BST, shares of United were higher by 7.87% to $136.88.