AstraZeneca

The pace of the economic recovery in the UK has taken economists by surprise in the last year, prompting a number of upwards revisions for GDP growth.

The increased use of company shares to finance M&A activity may be a warning sign for investors that valuations are topping out, leading fund managers have said.

Pfizer, the US pharmaceuticals giant which today raised its offer for UK rival AstraZeneca, has written to Prime Minister David Cameron in an attempt to appease fears over the impact of any takeover.

US giant Pfizer has made an improved offer to buy AstraZeneca, the UK's second largest pharmaceuticals company, raising its bid to £50 a share.

Growth-focused UK equity managers have joined their income peers in backing pharmaceuticals as deals both real and rumoured send shares rocketing.

The FTSE 100 has risen in early trading as news of a fresh Pfizer approach for AstraZeneca sparks a 15% jump in the UK group's share price.

The FTSE 100 has risen 0.7% in early trading to touch its highest level in six weeks, driven by gains for pharmaceutical giant AstraZeneca and the mining sector.

Anna Fedorova and Julia Rampen report from Investment Week’s recent Senate Investment Conference

THE BIG INTERVIEW

AstraZeneca' profits dropped sharply in Q4 as strong emerging market sales failed to offset competition from cheap generics, and several of its leading drugs edged towards the patent cliff.