Only if it means SHPG share price goes back up !!! Actually, I'm starting to think SHPG may have made that low-ball move on BXLT just to fend off a new takeover attempt. One way or another, the status quo is not an option... expect news soon.
I'm a long time SHPG shareholder too and agree with you.
I posted separately about some comments the NVO CEO made with regards to a BXLT buyout by SHPG.. It appears that would lead to stronger competition and makes me wonder if NVO may make a bid on BXLT too.
Blackout, I've owned shpg for about 18 years and they have given me about a 2,300+% return over that time. As a 100% stock deal the bxlt shareholders would do very well with this mgmt team.
NVO thinks BXLT will suffer some disruption to their business on a takeover by SHPG, but only in the short term. Longer term SHPG-BXLT will become a bigger threat in the space.
@Novo Nordisk A/S, the maker of the NovoSeven hemophilia treatment, will benefit initially if Shire Plc succeeds in its $30 billion takeover bid for Baxalta Inc., according to Chief Executive Officer Lars Rebien Soerensen. Baxalta, a one-month-old U.S. drugmaker spun off by Baxter International Inc., would allow Shire Chief Executive Officer Flemming Ornskov to diversify his company into hemophilia, an inherited blood disorder caused by low levels or absence of a protein called clotting factor that’s essential for coagulation.
Hemophilia affects about 20,000 people in the U.S. and accounts for roughly 10 percent of Novo Nordisk sales. NovoSeven is the company’s biggest hemophilia product. A combined Shire-Baxalta “may become a large and strong company, but that’s a long-term advantage,” Soerensen said in an interview at Novo’s headquarters in Bagsvaerd, Denmark. “Short-term it will be a cost game” and “benefit my business because of disruption.”
Expect to see a new offer soon. Will $50/shr be enough for BXLT to open their books for SHPG to do their DD? Maybe once they see the numbers they might be willing to even pay a bit more and close the deal.
FYI: I bought ITM Feb expiry calls in BXLT as a hedge after the news broke this week. I figure if SHPG buys them, there will be more pressure on the stock. And if that deal falls through, SHPG will recover quickly back to where they were.
Feel better today john? I can;t predict what will happen, but whether SHPG is the eventual buyer or yet again a target, I am highly confident that SHPG will continue to prosper. The key is to have a longer-term view. I've held this company for many years and overall am very pleased with the return.
hey buzz, today is brutal. I was hoping it being take out not the other way. do you see more falling. it would be nice if we see a teva-myl-prgo type of scenario. Comes a bigger fish.
Mostly positive on a takeover of BXLT
Berenberg: Deal EPS Accretive
JPMorgan: Surprised By Choice Of Target, Bullish On Shire Regardless
SunTrust: Acquisition Offer ‘Makes Strategic Sense'
Bank Of America: Six Key Concerns
We agree. Shpg went through a similar dance with abbv last year before getting together on a deal so things aren't necessarily dead as inv bankers could be talking with them and Baxter parent. If the synergies make sense who knows. The good thing for them is 100% stock so no taxes would be triggered.
It was noted in reports that since BXLT rejected SHPG's initial approach on a deal, SHPG was unable to do any due diligence on BXLT. Clearly the initial hostile offer was only meant to push BXLT management into opening negotiations which would permit SHPG to see their books, and then issue a follow-on (higher) offer after detailed review of BXLT's business financials.
Not necessarily today as this might go back and forth for a bit. They must be open to increasing offer but they want dialogues before upping it. Great mgmt at shpg. They may have been fending off bids for them with this offer too. ** 18 year shpg shareholder.
So what we have here by SHPG is a hostile takeover attempt for BXLT. Might be difficult to get this deal done without bumping up the offer price.
@08/04/2015 | 08:34am US/Eastern NEW YORK — Irish drugmaker Shire PLC Is offering to buy Baxalta Inc. for about $30 billion in stock in a move to solidify its position in rare disease treatments. Deerfield, Illinois-based Baxalta was spun off of Baxter International Inc. in July and focuses on bleeding disorders. Dublin-based Shire makes treatments for a range of conditions including attention deficit hyperactivity disorder, epilepsy and hunter syndrome. In a statement, Shire urged Baxalta to engage in negotiations. It made the offer to the company on July 10 and said the offer implies a value of $45.23 per share, a 36 per cent premium for Baxalta. Shares of Baxalta rose more than 20 per cent to $40.10 in premarketing trading. Shire's stock fell nearly 3 per cent to $260.92.
SHPG is delving further into the eyecare market space.
@Shire has strengthened its move into eyecare with the $300m acquisition of a US company developing a treatment for conjunctivitis. The UK-listed, Dublin-based drugmaker said the all-cash deal for privately held Foresight Biotherapeutics would give it access to potentially the first medicine for viral and bacterial forms of the common eye infection. Shire has been stepping up investment in eyecare as it pushes for regulatory approval of its own lifitegrast treatment for dry-eye disease. “Ophthalmics is a highly attractive growth area for Shire and this acquisition allows us to strengthen our presence,” said Flemming Ornskov, Shire chief executive. He said Foresight’s FST-100 drug was “highly synergistic” with the commercial structure being built to market lifitegrast. If both were approved, the products “would address two of the leading reasons people seek eyecare treatment”, Mr Ornskov added.More than 11m cases of infectious conjunctivitis — also known as pink eye — occur annually in the US and EU. The potential ability of FST-100 to treat viral and bacterial forms of the disease could reduce unnecessary use of antibiotics for the condition, said Michael Weiser, director of Foresight. Shire said it would push FST-100 into late-stage clinical trials after promising mid-stage data. Lifitegrast, meanwhile, is awaiting a regulatory decision from the US Food and Drug Administration by October after positive late-stage trial results. Shire has tipped lifitegrast for peak annual revenues in excess of $1bn, making it an important part of Mr Ornskov’s drive to almost double product sales to $10bn by 2020.
Poof... closed right back where it started the day. Still, nice to see it make a new 52 week and all-time high, even if it was only intraday.
For the umpteenth time, SHPG is again being bandied about as a possible target. And meanwhile the stock price is gradually heading up. A close above 65 would make a nice new support level.
@Now Pfizer’s management team is looking for products or a business to help make up for patent expirations of what once were blockbuster drugs. And a deal could be big or small. “I don’t think we’re looking at limitations on size,” Read said in an interview. “With size sometimes comes complexity.” While Read didn’t name specific targets, investors routinely parse his public comments for clues about which companies he’s looking at. GlaxoSmithKline Plc and Shire Plc, both based in the U.K., have been bandied about ever since Pfizer ended its six-month, $120 billion pursuit of London-based AstraZeneca Plc after failing to reach an agreement on price. Relocating to a U.K. address could help Pfizer save on taxes.