Elan "sell"

12/20/05 - Merrill Lynch

NEW YORK, December 20 (newratings.com) – Analysts at Merrill Lynch reiterate their "sell" rating on Elan Corp (ELN).

In a research note published this morning, the analysts mention that the company’s share price reflects a more-optimistic-than-warranted scenario for Tysabri, the multiple sclerosis (MS) drug that was withdrawn from the market earlier this year. The analysts expect Tysabri to return to the market in 1H06, but believe that the drug’s re-entry would be restricted, with approval only for MS patients who have failed other therapies.