AstraZeneca proposes $10 billion purchase of Rhythm Pharmaceuticals, sparking possible bidding war

AstraZeneca has reportedly made an offer of about $10 billion to buy Rhythm Pharmaceuticals, a company focused on rare obesity disorders.

Analysts from at least three research groups say the proposal could trigger a competitive bidding process, suggesting Rhythm may hold out for a higher valuation.

The Wall Street Journal notes that Rhythm has indicated the current offer may not be sufficient, leaving the outcome of the potential transaction uncertain.