Pennant: Axcan Pharma Buyout Price Too Low

In a 13D filing on Axcan Pharma Inc. (AXCA), 9.95% holder Pennant Capital Management said they are disappointed with the $23.35 per share buyout price by TPG Capital.

The firm said, "While we support selling the Company, we believe the valuation indicated is inadequate considering the strong cash flows of the business coupled with significant net cash on the balance sheet."

Pennant Capital requested the company disclose full details of the process undertaken to realize the highest value of the company in the proxy materials. Pennant Capital believes the Company is worth at least $25/share.