Mylan Labs Says Icahn Eyes Stake

The drugmaker says the famous investor has been given regulatory OK to buy a stake.
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Mylan Laboratories

(MYL) - Get Report

said Thursday that billionaire investor Carl Icahn has been given the OK by the Federal Trade Commission to purchase some of the company's stock.

Pittsburgh-based Mylan, which makes generic and brand-name drugs, said the FTC granted early termination of the Hart-Scott-Rodino waiting period relating to an Icahn application to buy between $100 million and $500 million worth of Mylan's stock.

Based on Wednesday's closing price of $15.58, Icahn would be able to purchase 2.4% to 11.9% of Mylan's shares without making a further filing with regulators.

In premarket trading, Mylan's shares jumped $1.12, or 7.2%, to $16.70.

Mylan said it hadn't talked to Icahn, adding that it doesn't know how much he will buy. The company declined further comment.

Mylan is seeking to acquire

King Pharmaceuticals


in a $4 billion stock swap deal announced in late July.

Icahn recently sold a part of his large stake in

ImClone Systems