Shares in UK drugs giants GlaxoSmithKline plc. (LON:GSK), AstraZeneca PLC (LON:AZN) and Shire Plc. (LON:SHP) made large gains on Thursday following the release of the Senate Republicans’ healthcare plan.
The bill aims to repeal and replace Obamacare, with deep cuts to Medicaid funding and the re-shaping of subsidies to low-income people for private insurance.
Analysts suggested that the new bill – which is set to be put to a vote before the 4 July break – could be more beneficial to big pharma than originally expected. Healthcare stocks were also one of the best performers earlier this week on high hopes for eased regulations in the industry.