Elan posts financials, as it explores sale of the company

Ireland-based Elan Corp (NYSE:ELN) today reported its second quarter 2013 financial results, showing that net profit for the period rocketed to $2.29 billion, compared to a loss of $28.5 million in the like, year-earlier period. The company’s shares edged 2.4% higher to $14.44 in mid-morning New York trading yesterday (July 24).

This leap in profit was due to the sale of its share of the blockbuster multiple sclerosis drug Tysabri (natalizumab) to partner Biogen Idec (NYSE: BIIB) for a consideration of $3.25 billion.

This left the company with revenues of just $56.3 million from continuing operations. Elan ended the quarter with over $1.90 billion in cash and equivalents and it has no debts. Elan has been the subject of an $8 billion hostile takeover effort by Royalty Pharma, which was finally abandoned last month.

“We are focused squarely on the process of exploring a sale of the company as announced by our board of directors on June 14, 2013,” commented chief executive Kelly Martin, adding that “the board of directors and executive management are in complete alignment with regard to exploring all opportunities to maximize shareholder value.”