Merck (NYSE:MRK) finalizes its acquisition of Idenix Pharmaceuticals (NASDAQ:IDIX) for $24.50 per share. As of yesterday, 131,693,787 IDIX shares were tendered representing 82.5% of its outstanding common stock.
Merck (MRK) begins the process of acquiring Idenix Pharmaceuticals (IDIX) for $24.50 in cash. It will file a Schedule TO with the SEC today. Idenix will file a Schedule 14D-9 that includes the recommendation of the IDIX BOD that shareholders accept MRK's offer.
Merck (MRK -0.3%) shareholder Ronald Burns files suit (Burns vs Idenix Pharmaceuticals) attempting to block its $3.9B acquisition of Idenix (IDIX +1.4%) stating that the price undervalues IDIX. He cites IDIX's intrinsic value and a flawed process that prevents competing bids.
The deal includes a no-solicitation clause, grants MRK the right to match any superior offer and stipulates a $115.6M termination fee. Mr. Burns alleges that these clauses virtually assure Merck gets the deal.
At an investors meeting in Los Angeles, Merck (MRK -0.9%) EVP and President, Merck Research Laboratories Roger Perlmutter, M.D., Ph.D., says the company will consider large acquisitions as way to expand its product portfolio rather than obtain drug-development technologies. He says Merck continues to have an appetite for deals following its recent buy of Idenix (IDIX +0.3%) for $3.85B.
In an all-cash deal, Merck (MRK) acquires Hep C drug maker Idenix Pharmaceuticals (IDIX) for $24.50/share ($3.85B). The company has an attractive portfolio of Hep C product candidates based on nucleotide/nucleoside chemistry and prodrug technologies.