Why Is Cash-Rich Gilead Sciences, Inc. Borrowing $3 Billion?
Last week, Gilead Sciences (NASDAQ: GILD) announced that it was borrowing $3 billion. That's billion with a "B."
The company doesn't really need the money. It was sitting on $36.6 billion in cash, cash equivalents, and marketable securities at the end of the second quarter. That's more than enough to cover the $11.9 billion price tag to buy Kite Pharma (NASDAQ: KITE).
Nevertheless, Gilead decided to take on additional debt to fund part of the deal for Kite, likely for a couple of different reasons.
Source: Fool.com
Gilead Sciences Inc Stock
€70.94
0.440%
With 11 Buy predictions and only 1 Sell predictions the community sentiment for the stock is positive.
As a result the target price of 85 € shows a slightly positive potential of 19.82% compared to the current price of 70.94 € for Gilead Sciences Inc.
