Boston, MA 10/14/2013 (wallstreetpr) – The planned takeover of Elan Corporation, plc (ADR) (NYSE:ELN) by Perrigo Company is now on top gear and all indications are that nothings can distract the process. This comes even as Elan dropped 0.19% on Friday to close down at $16.01. With the Friday’s dip, there is a lot of investor attention on the stock to see how it performs Monday.
Under the proposed acquisition, Elan is offering itself to the Michigan-based Perrigo Company at approximately $6.7 billion. This merger agreement has however generated a lot of heat than light among the shareholders in the past month, having been punctuated by a legal action blessed by the shareholders. The proposed takeover terms stipulate that Elan shareholders would receive about $16.50 consideration which will be based on the closing price. Another consideration is 0.07636 shares of the combined company for every share of Elan stock owned by investor, plus $6.25 in cash.
Talks about this acquisition are set to progress in the coming weeks. For example, it is likely to come up in Elan’s October 24, conference call in which the company will be giving reports of its Q3.13 financial results. These results are schedule to come before the opening of U.S. and Europe financial markets.
The acquiring company Perrigo is also scheduled for a shareholders meet on November 18 to for discussion relating to Elan takeover.
Perrigo is in the business of manufacturing and distribution of over-the-counter (OTC) and prescription pharmaceuticals for dietary supplements, infant formulas and animal health. The company’s operations and markets capture U.S., U.K., Israel, India, Australia, Mexico and China.
Elan Corporation is a biotech company with a market capitalization of $8.21 billion. The company is also in several asset purchase agreements. Its shares have traded $9.37 low and $16.09 high for the 52-week duration. The 6.7 billion acquisition deal is expected to give the company enough firepower to energize its standing in the pharmaceutical market.
