Meda has rejected a takeover bid from US generics major Mylan, a move which has seen the Swedish drugmaker's stock jump.  

Shares in Meda had been halted shortly after a report in the Financial Times said Mylan was planning a bid that would create a $23 billion company. The newspaper had cited a person familiar with the matter as saying that Mylan would pay a “significant” premium to Meda’s market value, which stood at around $4.5 billion on April 3.

Meda then issued a statement to confirm it had been contacted by Mylan "regarding an indicative proposal to combine the two businesses". The Solna-headquartered company noted that its board had convened "and has decided to reject the proposal".

Furthermore, "all continued discussions between Meda and Mylan have been terminated without further actions," the firm concluded. Whether this is the end of the matter is not yet clear, but once trading in Media shares resumed, they soared to end the day at 16.70 kronor, up 12.5%.

Meda, which markets specialty treatments, over-the-counter products and branded generics, had sales last year of 13.11 billion kronor (+4%), boosted by growth in the emerging markets and a strong showing in the USA for its hay fever treatment Dymista (azelastine and fluticasone). It is regularly mentioned as an acquisition target and In June last year, India's Sun Pharmaceutical Industries was thought to be planning a move for Meda, though the latter denied any talks were taking place.

Mylan has yet to comment on the discussions but has not hidden its interest in making acquisitions.