Taro Pharmaceuticals (NDAQ:TARO) shares moved higher today on news that the company was in talks with the Ofer Fund. The Yedioth Ahronoth daily is reporting that the buyout would be worth around $450 million or $15.36 per share - a 38% premium over Friday's closing price. The company has not reported receiving or accepting an offer as of yet.

Taro Pharmaceuticals is an Israeli generic drug producer that has been struggling since 2004, with its stock down over 80% since those highs. Since then, the stock has struggled with poor financials and a possible delisting from the NASDAQ. Only recently did the company receive a filing extension on November 16th. The stock moved up 6% in today's trading on the news. It is important to remember that no offer has been made or accepted yet, and given the fact that Taro has not filed its 20-F (foreign annual report), we do not have a good picture of the company's financial condition. The deal could still fall apart if it is contingent upon a review of these financials (due diligence). But regardless, this is definitely a company to keep an eye on in this very strong M&A market.

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