Teva Pharma stock plunged Monday as a major regulatory and pricing dispute escalated in New Jersey, where the company is seeking to buy up to 60% of the U.S. market.
The stock fell to $13.90 in New Orleans.
Teva had said it would buy up as much as $8 billion in stock to bolster its balance sheet.
A spokesman for the company declined to comment.
Tevas parent company Teva Sciences said in a statement that it has a plan to address the regulatory and financial challenges that arose.
Tevaranta, which has a strong presence in the United States, had been expected to announce the deal Monday.
Tevianta, the world’s second-largest drugmaker by market value, said it is in discussions with Teva to resolve the issue.
A source familiar with the matter said Teva is working with Tevarantas parent, Teva, to resolve issues in the U