Furiex Diarrhea Drug May Lure Takeover by Salix: Real M&A

Furiex Pharmaceuticals Inc., the maker of a gastrointestinal medicine that’s looking for a buyer, may be a good fit for Salix Pharmaceuticals Ltd., its larger competitor 20 minutes down the road.

Furiex, whose shares soared after results showed its eluxadoline treatment alleviated abdominal pain from irritable bowel syndrome, has contacted drugmakers to gauge interest in a deal with the Morrisville, North Carolina-based company, people familiar with the matter said last month. Raleigh, North Carolina-based Salix may seek a takeover because it could sell the drug with its own remedies, Ladenburg Thalmann & Co. said.