Blackstone and Teva Forge $400M Strategic Funding Agreement

Written by Emily J. Thompson, Senior Investment Analyst

Source: seekingalpha

Updated: Mar 03 2026

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TEVA+0.06%

Should l Buy TEVA?

Source: seekingalpha

Strategic Funding Agreement: Blackstone Life Sciences has secured a $400 million strategic funding agreement with Teva Pharmaceutical to support the development of duvakitug, a phase 3 asset for ulcerative colitis and Crohn's disease, with funds allocated over four years.
Milestone Payment Structure: Teva will pay Blackstone a milestone payment upon duvakitug's approval, and Blackstone is also eligible for commercial milestones and low single-digit royalties on global sales, enhancing its revenue potential significantly.
Co-Development and Commercialization: Duvakitug will be co-developed and co-commercialized with Sanofi, a partnership that not only facilitates resource sharing but also accelerates the product's market entry, thereby improving competitive positioning.
Clinical Data Support: Teva and Sanofi released phase 2b maintenance data on duvakitug in February, demonstrating the drug's potential in treating inflammatory bowel disease, which lays a solid foundation for subsequent clinical development.

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Analyst Views on TEVA

Wall Street analysts forecast TEVA stock price to rise

11 Analyst Rating

10 Buy

1 Hold

0 Sell

Strong Buy

Current: 31.500

Low

29.00

Averages

35.71

High

40.00

Current: 31.500

Low

29.00

Averages

35.71

High

40.00

Piper Sandler

David Amsellem

Overweight

maintain

$40 -> $41

2026-03-04

Reason

Piper Sandler

David Amsellem

Price Target

$40 -> $41

AI Analysis

2026-03-04

maintain

Overweight

Reason

Piper Sandler analyst David Amsellem raised the firm's price target on Teva to $41 from $40 and keeps an Overweight rating on the shares after meeting with management. Key discussion topics included a number of bigger picture considerations, including management's approach to innovative R&D and its vision for the R&D organization; how the team is thinking about further build-out of its core neuroscience and immunology verticals; its vision for the biosimilars business; and the approach to capital deployment amid growth in cash generation. With an attractive long-term top-line/EBITDA growth story coming into focus, in the context of continued improvement in the capital structure and an absence of loss of exclusivity exposure, the firm would argue for further multiple expansion from a current EV/2026 EBITDA of 10 times.

BofA

Buy

maintain

$37 -> $38

2026-02-18

Reason

BofA

Price Target

$37 -> $38

2026-02-18

maintain

Buy

Reason

BofA raised the firm's price target on Teva (TEVA) to $38 from $37 and keeps a Buy rating on the shares after the company and partner Sanofi (SNY) announced Phase 2 maintenance data from the RELIEVE UCCD long-term extension study of duvakitug in inflammatory bowel diseases. Based on yesterday's update, the firm edged up its multiple, reflecting $1B in higher duvakitug peak sales, now seen at a $3B peak.

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About TEVA

Teva Pharmaceutical Industries Ltd is a Israeli-based pharmaceutical company. The Company operates through three segments: North America, Europe and International Markets. Each business segment manages entire product portfolio in its region, including generics, specialty and over-the-counter (OTC) products. In addition to these three segments, The Company has other activities, primarily the sale of active pharmaceutical ingredients (API) to third parties, certain contract manufacturing services and an out-licensing platform offering a portfolio of products to other pharmaceutical companies through its affiliate Medis.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.

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Selling Top Performers: In his latest 13F filing, Druckenmiller reduced his stake in Teva Pharmaceuticals by 10,719,065 shares, a 65% cut, and also sold 222,000 shares of Taiwan Semiconductor Manufacturing (TSMC), a 29% reduction, indicating a cautious outlook on the future performance of these stocks.
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Teva and Blackstone Reach $400 Million Strategic Funding Agreement

6 days agoNASDAQ.COM

Strategic Funding Agreement: Teva Pharmaceuticals has entered into a $400 million strategic funding agreement with Blackstone Life Sciences, with funds allocated over four years to support the clinical development of duvakitug, reflecting confidence in the drug's potential.
Clinical Development Support: Blackstone Life Sciences will finance ongoing and future development costs for duvakitug, and upon FDA approval, Teva will pay milestone payments to Blackstone, further advancing the product's path to market.
Market Potential: Duvakitug is a human monoclonal antibody targeting TL1A, currently in phase 3 clinical studies for ulcerative colitis and Crohn's disease, and successful commercialization could meet the urgent market demand for new therapies.
Collaborative Development: Teva is co-developing duvakitug with Sanofi under a separate agreement, and subject to regulatory approval, will co-commercialize the asset, enhancing market competitiveness and expanding market share.