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Shire rejects AbbVie merger

  • AbbVie (ABBV) has announced that Shire (SHPG) rejected its proposed merger, which valued the latter at $78.87 a share. This was the third merger attempt made by AbbVie in recent months. Discussions regarding the acquisition are said to be not continuing further.
  • Shire's Q1 net profit soared to $230M from $65M a year ago, and sales rose 16% to $1.35B. AbbVie's profit climbed 1.2% to $980Min Q1, and sales grew 5.4% to $4.56B.
Comments (3)
  • JDoe20
    , contributor
    Comments (355) | Send Message
     
    From Bloomberg. Can't find real usd price but offer is +23% over yesterdays close of about $191 would be over $233! $250+ in the cards after competing bids?

     

    "The offer of about 46.11 pounds a share undervalues Shire, the company said in a statement today. Shire surged as much as 16 percent. The drugmaker’s board unanimously rejected the approach, no talks are occurring and there can be no certainty a further plan will be put forward, North Chicago, Illinois-based AbbVie said in a statement late yesterday. The proposal is 23 percent more than Shire’s closing price yesterday."
    20 Jun, 08:34 AM Reply Like
  • JDoe20
    , contributor
    Comments (355) | Send Message
     
    3 shares per ADR so bid is about $236.60 / ADR.
    20 Jun, 08:56 AM Reply Like
  • ellaruth
    , contributor
    Comments (164) | Send Message
     
    Good deal or no. Shire's R&D has so much potential to help so many people, and makes so much money in the process. I hope that Shire retains it's R&D autonomy, if Shire doesn't many will suffer.

     

    ER
    20 Jun, 02:13 PM Reply Like
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