Mylan pushes forward in its Perrigo takeover bid

HERTFORDSHIRE, England  — Mylan will be taking its offer to acquire Perrigo directly to Perrigo shareholders on Sept. 14, the company announced Tuesday. Under the terms of the offer, Perrigo shareholders will receive $75 in cash and 2.3 Mylan ordinary shares for each Perrigo ordinary share.

 

Mylan executive chairman Robert Coury also sent a letter to Perrigo chairman and CEO Joseph Papa reiterating Mylan's commitment to the transaction and respect for Perrigo and its employees, re-affirming the value of the Mylan offer to Perrigo shareholders and outlining to Perrigo shareholders their clear and direct pathway to completion of the transaction.

 

“We are very excited to commence the final step in this transaction and to complete the compelling combination of Mylan and Perrigo,” Coury stated. “[W]e believe this is a highly attractive offer for Perrigo shareholders in terms of the price, multiple being paid, accretion and continued long-term potential for value creation," he said. "We are confident that Perrigo shareholders see that our offer provides superior immediate value, as well as long-term, sustainable value creation, and will tender in favor of the transaction.”

 

As previously announced on April 24, 2015, Mylan issued a Rule 2.5 announcement under the Irish Takeover Rules setting forth its legally-binding commitment to commence an offer for the entire issued and to be issued shares of Perrigo. Mylan’s shareholders approved the bid at their annual meeting on Aug. 28.

 

Perrigo believes the takover offer is undervalued. 

 

“Our views of Mylan's offer to Perrigo shareholders have always been, and will continue to be, based on our board's careful reflection of the value available to Perrigo shareholders, and do not depend on the limited choices that Mylan has allowed its shareholders to consider,” stated Papa, late last month following a Mylan shareholder vote to pursue the acquisition. “Following extensive discussions with our shareholders, we are confident that most of them believe that Mylan's offer substantially undervalues Perrigo and would dilute our growth profile and superior valuation.”