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Salix Pharmaceuticals, Ltd. (SLXP)

- NASDAQ
  • Mon, Mar. 16, 1:47 AM
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  • Thu, Mar. 12, 3:21 AM
    • Valeant (NYSE:VRX), which is currently marketing a $9.6B high-yield bond to finance its planned acquisition of Salix Pharmaceuticals (NASDAQ:SLXP), is not pulling the deal despite reports that Endo International (NASDAQ:ENDP) is making a rival bid.
    • A road show for the deal - which would be the second largest junk bond on record - started on Tuesday.
    • Endo's bid values Salix at $175/share ($11.2B) in cash and stock, while Valeant's $10.1B offer consists of $158 per share in cash.
    • Previously: Endo launches $175/share bid for Salix (Mar. 11 2015)
    • Previously: Valeant initiates debt offering (Mar. 09 2015)
    • VRX +2% AH
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  • Wed, Mar. 11, 2:45 PM
    • Endo (NASDAQ:ENDP) has submitted a proposal to Salix's (NASDAQ:SLXP) board to buy Salix for $175/share ($11.2B) in cash and stock, based on yesterday's closing prices.
    • In an open letter (.pdf) to Salix's board, Endo states it's offering $45 in cash and 1.46 Endo shares for each Salix share. It predicts a deal would be accretive to 2017 EPS by 15%-20% relative to Endo's current plan.
    • The offer price represents an 11% premium to Valeant's (VRX -2.7%) $158/share all-cash February deal to acquire Salix. Endo would have to pay a $5.50/share breakup fee to make the deal happen.
    • Endo and Salix both remain halted. Before the halts, Endo was down 1.1% to $88.02, and Salix up 6.5% to $167.82.
    • Prior Endo/Salix coverage: I, II
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  • Wed, Mar. 11, 1:08 PM
    • If Endo International (ENDP +0.5%) is ultimately successful in buying Salix Pharmaceuticals (SLXP +6.2%) for $170 - 175 per share, it would have to pay the breakup fee of $356M owed to Valeant (VRX -5.8%) which would add ~$5.50 per share to the deal.
    • Endo made its offer in a private letter sent to Salix's BOD today.
    • Update: The price being bantered about on social media is $165/share so, apparently, the breakup fee is included in the previous range of $170 - 175. Also, the offer is allegedly 25% cash and 75% stock.
    | 1 Comment
  • Wed, Mar. 11, 12:51 PM
    • According to a tweet from CNBC Now, Endo International (ENDP +4.1%) makes a bid for Salix Pharmaceuticals (SLXP +7.5%) despite the progress on funding made by acquirer Valeant Pharmaceuticals (VRX -3.9%).
    • Valeant announced its takeover on February 22 for $158 per share.
    • Previously: Valeant initiates debt offering (March 9)
    • Previously: Report: Valeant to buy Salix for $10.1B (Feb. 22)
    • Update: Endo's offer is supposedly $170 - 175 per share.
    | 3 Comments
  • Sun, Feb. 22, 4:25 PM
    | 2 Comments
  • Sun, Feb. 22, 6:53 AM
    • Valeant Pharmaceuticals (NYSE:VRX) has agreed to buy Salix Pharmaceuticals (NASDAQ:SLXP) for about $10.1B, or $158 per share in cash, Bloomberg reports.
    • Two other drugmakers were rumored to be on the hunt for Salix prior to the newly reported deal, including Endo International (NASDAQ:ENDP) and Shire (NASDAQ:SHPG).
    • On Friday, Salix shares rose $7.11 to $157.85, almost completely eliminating any premium in the purchase price.
    • Separately, Valeant received approval to buy the assets of bankrupt Dendreon (OTCPK:DNDNQ) for $495M. Dendreon is best known for its prostate cancer vaccine, Provenge.
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  • Mon, Feb. 16, 5:50 PM
    • A person close to the matter says Endo International (NASDAQ:ENDP) is and has been interested in acquiring Salix Pharmaceuticals (NASDAQ:SLXP). It has apparently sent Salix several letters stating its interest in a transaction, but Salix has yet to respond.
    • Valeant Pharmaceuticals (NYSE:VRX) and Shire (NASDAQ:SHPG) are also rumored to be in hunt for the maker of products that treat gastrointestinal disorders.
    • Previously: Valeant close to a bid for Salix (Feb. 12)
    • Previously: Shire now on the hunt for Salix (Feb. 13)
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  • Fri, Feb. 13, 1:58 AM
    • Not only is Valeant Pharmaceuticals (NYSE:VRX) reportedly prepping a bid for Salix Pharmaceuticals (NASDAQ:SLXP), but Shire (NASDAQ:SHPG) is now rumored to be preparing an offer.
    • Shire has taken initial steps towards a bid and is evaluating how to secure financing, sources told Reuters.
    • Yesterday, Valeant Pharmaceuticals was reported to be arranging financing for a takeout of Salix at a likely price of more than $150 per share. Including net debt, Salix is valued at almost $11B.
    • Previously: Valeant close to a bid for Salix (Feb. 12 2015)
    • SLXP +1.2% premarket
    | 1 Comment
  • Thu, Feb. 12, 3:53 PM
    • People close to the matter say Valeant Pharmaceuticals (VRX +2.1%) has arranged financing for a takeout of Salix Pharmaceuticals (SLXP +4%) at a likely price of more than $150 per share. Including net debt, Salix is valued at almost $11B.
    • Salix's products treat ulcerative colitis and travelers' diarrhea and, when approved, irritable bowel syndrome. Consensus view for 2014 is a loss of ($0.11) per share on revenues of $1.32B.
    • The deal would be a noteworthy win for Valeant after its failed attempt to buy Allergan.
    • Previously: Trading in Salix halted, possible sale in the works (Jan. 20)
    • Previously: Salix jumps on yet another buyout rumor (Feb. 3)
    | 3 Comments
  • Tue, Feb. 3, 12:43 PM
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  • Tue, Jan. 20, 1:56 PM
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  • Oct. 3, 2014, 3:07 AM
    • Salix (NASDAQ:SLXP) and Cosmo Pharmaceuticals have ended their $2.7B merger agreement, citing a "changed political environment".
    • In July, Salix had announced it would merge with Cosmo's Irish subsidiary under a tax-inversion, although recent "inversion" legislation from the U.S. Treasury seems to have been effective in curbing the deal.
    • SLXP +4.6% AH
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  • Oct. 2, 2014, 6:16 PM
    • Bloomberg reports Salix (NASDAQ:SLXP) is now in talks to sell itself to Actavis (NYSE:ACT), and that M&A talks with Allergan (NYSE:AGN) have faded.
    • A tangled web: The WSJ previously reported Allergan was in "advanced talks" to buy Salix after turning down Actavis. Since then, speculation has grown Actavis will bid for Salix.
    • SLXP +3.9% AH.
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  • Sep. 28, 2014, 6:44 AM
    • Another Allergan (NYSE:AGN) investor has spoken out against the company's pursuit of a costly purchase to fend off Valeant's (NYSE:VRX) $54B takeover bid.
    • Jackson Square, the eighth largest investor in Allergan, now joins T. Rowe Price (NASDAQ:TROW), announcing its dissatisfaction with the newly proposed acquisition.
    • This past week, Allergan was reported to be "in advanced talks" to buy Salix (NASDAQ:SLXP) in an all-cash deal after turning down an offer from Actavis (NYSE:ACT).
    • “We appreciate the perspectives of our stockholders,” Allergan says in an e-mailed statement. “Allergan’s Board remains confident in the company’s ability to deliver significantly more value than Valeant’s grossly inadequate offer.”
    | 2 Comments
  • Sep. 24, 2014, 12:16 PM
    • Market buzz is building about Actavis (ACT +2.1%) making a move for Salix Pharmaceuticals (SLXP -0.2%) which would submarine Allergan's (AGN +3.7%) reported acquisition plans as a tactic to thwart Valeant (VRX +6.9%).
    • Actavis itself is supposedly a takeover target of Pfizer (PFE +1%).
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Company Description
Salix Pharmaceuticals Ltd is a specialty pharmaceutical company. The Company is engaged in acquiring, developing and commercializing prescription drugs and medical devices used in the treatment of gastrointestinal disorders.
Sector: Healthcare
Industry: Drugs - Generic
Country: United States