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Manufacturing

Coronavirus vaccine maker AstraZeneca's £27.5bn megadeal to be probed by º£½ÇÊÓÆµ competition watchdog

The deal was approved by shareholders earlier this month

AstraZeneca is in the process of completing a £27.5bn deal(Image: PA)

Coronavirus vaccine maker AstraZeneca's £27.5bn ($39bn) deal to buy an American drug company is being probed by the º£½ÇÊÓÆµ's competition watchdog.

The Competition and Markets Authority (CMA) said it is looking into whether AstraZeneca's acquisition of Alexion Pharmaceuticals could harm competition in the º£½ÇÊÓÆµ.

The CMA has set a deadline of June 3 for comments for its so-called phase one investigation, the PA news agency reports.

AstraZeneca, which has a major base in Macclesfield, Cheshire, agreed to buy Alexion in Boston for £123 ($175) a share in December, marking the drug giant's biggest ever acquisition and a move to boost its expertise in immunology and rare diseases.

The cash-and-shares deal was approved by shareholders earlier this month.

It is a milestone for AstraZeneca - which has developed the Covid-19 jab together with Oxford University - and will diversify the group, adding to its fast-growing cancer treatment business.

AstraZeneca is hoping to complete the takeover of Alexion in the third quarter of the year.

The CMA inquiry comes just weeks after AstraZeneca's boss Pascal Soriot suffered a shareholder backlash over his pay.