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NEW YORK (TheStreet) -- Shares of Hyperion Therapeutics (HPTX) rose 8% this morning after the company announced that it had agreed to be acquired for $46 per share by Horizon Pharma (HZNP) - Get Horizon Therapeutics Public Limited Company Report. Hyperion shares closed at $42.74 on Friday. In a note to investors on February 27, research firm Brean Capital called the company a potential takeover target. The Fly published a summary of Brean's note on that day. Hyperion is a drug maker than focuses on orphan diseases and hepatology.

WHAT HAPPENED: On February 27, following Hyperion's fourth quarter results, Brean Capital analyst Difei Yang wrote that, given Hyperion's attractive valuation, the company could be a takeover target. Despite the fact that Hyperion is a profitable drug company, the stock "stubbornly underperformed" the shares of similar companies, according to Yang, who reiterated a $40 price target and Buy rating on the shares at that time.

PRICE ACTION: In late morning trading, Hyperion jumped $3.38, or 7.9%, to $46.11. On February 27, the date of Brean's note in focus, Hyperion shares closed at $29.55. Meanwhile, shares of the buyer, Horizon Pharma, are up 15% to $25.18 this morning.

Reporting by Larry Ramer.

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