Elan shares rise 8% after Moody’s upgrade

ELAN shares rose again yesterday after Moody’s Investors Services upgraded the outlook on its debt to positive from stable and confirmed its current ratings.

Elan shares rose by more than 8% during the day and despite profit taking by investors remained buoyant to close up 6.82% at €18.17, up €1.16 on the day. A year ago on April 17 Elan shares closed at €2.69. More than 11 million in Elan shares changed hands on the Irish Stock Exchange yesterday.

However, despite the positive ratings Moody’s retain worries about Elan’s cash flow burn and its very high degree of operating risk.