Mylan to make formal offer to buy Irish drugmaker Perrigo
Notice: Undefined variable: article_ad_placement3 in /usr/web/cs-washington.ogdennews.com/wp-content/themes/News_Core_2023_WashCluster/single.php on line 128
CANONSBURG – Mylan N.V. Tuesday announced its intention to make a formal offer to purchase Irish drugmaker Perrigo Co., offering the company’s shareholders $75 in cash and 2.3 Mylan ordinary shares for each Perrigo ordinary share.
The cash-and-stock bid values Perrigo at about $185.52 per share. That’s a premium of about 4 percent to the Friday closing price of Perrigo Co. shares, and the stock added $2.03 to $180.83 in morning trading.
According to a news release, Mylan Executive Chairman Robert J. Coury also sent a letter to Perrigo Chairman and Chief Executive Officer Joseph Papa reiterating Mylan’s commitment to begin the offer Sept. 14, and reaffirming the value of the Mylan offer to Perrigo shareholders.
Mylan said Coury’s letter followed an Aug. 28 meeting, at which its shareholders voted overwhelmingly in favor of the transaction.
“As we have repeatedly stated, we believe this is a highly attractive offer for Perrigo shareholders in terms of the price, multiple being paid, accretion and continued long-term potential for value creation,” Coury said in a statement. “It also offers Perrigo shareholders a clear pathway to close the transaction. We have long respected Perrigo and believe that Mylan is uniquely positioned to maximize this asset for the benefit of shareholders and all other stakeholders.
“We are confident that Perrigo shareholders see that our offer provides superior immediate value, as well as long-term, sustainable value creation, and will tender in favor of the transaction.”
In April, the generic drugmaker raised its offer for Perrigo to $232.23 per share, or about $34.1 billion, in cash and stock. But Dublin-based Perrigo, which makes over-the-counter medicines, once again rejected the takeover offer.
A combination of the two companies would create one of the world’s largest makers of generic and over-the-counter medications
Earlier this year, Mylan reorganized the company in a process known as an inversion, in which it reincorporated in the Netherlands.
It maintains its administrative offices in Southpointe, Cecil Township.