PRGO shareholders will sue if stock price retreats to 160...PRGO won't walk away from a revised higher offer.
MYL would be crazy to walk away from the proposal and not make a revised higher offer 210-230 range. MYL feels PRGO shareholders will accept the offer already on the table. Wait and see outcome.
Best outcome is a 3rd party to the rescue and buys PRGO away from MYL at the 210-230 price range. However, no such potential party out there?
First off it needs to get past MYL shareholders which at this point I don't see happening. If the street saw it happening MYL share price wouldn't be so low right now. If Mylan management thought it was going to happen the meeting wouldn't have been scheduled in Amsterdam and at the last Friday of the month.
IT is not scabies. The itching is from the chemtrails. The itching is caused by drinking corn syrup and the genetically engineered fungus (candida) dumped from air force planes. People are going to the doctors for their itching, when all they have to do is quit drinking or eating anything with corn syrup.
knowing that it will take a half decade to be accretive to Mylan's financials will compel perrigo shareholders to see the price as a good deal, within their investment time horizon. How could they not, given that that 5 year "premium" is an effective measure of over-payment.
$205 is in-sufficient to convince perrigo shareholders to tender.
$230 does not allow perrigo to become accretive to Mylan's financials within a reasonable number of years.
I believe the next, and successful bid, will be $220, with a $90 cash component.
Myl ' stake' holders will never let it happen. Prgo shareholders watch your back side. Couric is out to get you. Please, don't bend over.
$10.00 cash for every 1 newly issued share to the Mylan holder. Entrenched egotistical Management. Enough is ENOUGH!
Mylan will have to raise its offer to perrigo , maybe 240 - 250 , question is , after their recent devaluation , do they have the money ?
so the buyout can range from 205 to 230 at 75 cash and 2.3 MYL share per PRGO. If MYL increases the share offer the buyout offer goes up. Was already raised from 2.2 shares to 2.3 shares. I think possibly 2.4 or 2.5 shares for each PRGO. If MYL starts buying PRGO shares as Teva did as well then the total cost for MYL will go down as well.
They climbed closer to 65 after announcing PRGO offer, then PRGO declined and MYL went down to 58 levels. I see Mylan hovering around 60 to 65ish once all the shorts are done downing the stock. If greater support is given by PRGO management maybe 65ish to 70ish. Currently MYL is at 57 after Teva withdrew their offer. The vote may go to PRGO shareholders, sale makes sense to me. What happened with MYL crashing may happen to PRGO as well if deal goes away. If deal goes through I see MYL going up and in the end the combination of the companies will be stronger and possibly a sale to PFE afterwords.
Only thing is a lot of companies have already made big purchases, if PRGO doesn't sell here they would have to wait and then maybe miss out on the consolidation or lower price especially if the stock market continues to tank
considering PRGO was around 160 before any of this 205 is a good deal still, the company as a whole will be stronger and MYL shares will still go up over time meaning extra value