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Strategies & Market Trends : Speculating in Takeover Targets -- Ignore unavailable to you. Want to Upgrade?

To: richardred who wrote (3341)	6/7/2013 11:16:27 AM
From: richardred	Respond to of 7252

Royalty Pharma Raises Its Bid for Elan Again By JULIA WERDIGIER LONDON – Royalty Pharma sweetened its hostile takeover offer for Elan, the Irish drug company, on Friday for the second time in a month after it failed to get enough support from Elan’s shareholders. Royalty Pharma increased its offer to $13 for each Elan share from a bid last month of $12.50 a share and an initial offer of $11.25 in February. The revised offer also includes an option for Elan shareholders to receive as much as $2.50 a share extra if the multiple sclerosis drug Tysabri meets certain regulatory approval and sales milestones. The new offer values the company at $6.7 billion, or $8 billion including the options. Elan had rejected two previous offers by Royalty Pharma as too low and called the approach opportunistic. Royalty Pharma said earlier on Friday that 7.5 percent of Elan’s shareholders had accepted the second offer. The takeover quarrel intensified this month when Elan sought legal help to fight Royalty Pharma’s approach. Describing Royalty Pharma’s bid as coercive, Elan won a temporary injunction in the United States against the approach. The court is scheduled to meet again next week to decide on the issue. Elan shareholders are scheduled to gather for an extraordinary shareholder meeting on June 17 to vote on four acquisitions that Elan negotiated after Royalty Pharma’s initial approach. Royalty Pharma has been critical of the value of the transactions and said its offer for Elan would lapse if Elan shareholders approved the transactions. dealbook.nytimes.com