Citi Research analyst Liav Abraham suggested that Teva stands to benefit most from Mylan's offer to acquire Perrigo, Globes reported Sunday.
Although Mylan made an offer last week to purchase Perrigo for about $30 billion, some analysts continue to believe that Teva will still make an offer to acquire Mylan.
"If Teva is interested in Mylan, a bid must come soon, but there are a number of challenging factors," Abraham stated, adding "Teva will have to make a hostile takeover, because Mylan's management does not wish to sell the company."
Abraham also identified uncertainty regarding Mylan's EpiPen products, a poison pill enacted by Mylan and the complexity of such a transaction as additional challenges for Teva.
The analyst said that smaller acquisitions will permit Teva to expand its portfolio and diversify its risks.
Abraham indicated that an integration of Actavis' generic business is preferable to purchasing Mylan, noting that the unit does not represent a strategic asset for Actavis.