Mylan NV (NASDAQ:MYL) raised its offer to acquire Perrigo Company plc Ordinary Shares (NYSE:PRGO) yet again following Perrigo’s refusal to yield.
Mylan had placed a $32billion offer on the table as a consideration for the acquisition of Perrigo, but the latter declined the offer. On Wednesday, Mylan responded to the pressure to $75 per shares with a further 2.3 shares for each share of Perrigo. Despite the attractive offer, Perrigo declined, citing that it was still not enough because it was lower than the initial offer for $205 per share.
Perrigo stated that the latest offer was still lower than what they expected. In fact, the company stated that the offer was lower than the one previously offered. The company urged its shareholders not to take any action following the release of the statement.
Mylan NV (NASDAQ:MYL) is pushing for the deal to acquire Perrigo as a safety strategy from a hostile takeover. Teva, a drug manufacturing company, based in Israel has plans to take over Mylan. The Israeli drug company has a solid offer of $40.1 billion for the takeover. Teva, however, announced that it is interested in the offer to buy out Mylan as long as the company does not acquire Perrigo.
It is thus evident that Mylan does not have any interest in being a part of the Israeli drug maker. The constant tussle in negotiations saw an offer for $232.23 per share or a 25% share premium on April 8.
Despite Perrigo’s request for shareholders not to act on the information, the company’s shares went up by 1.3% to settle at $188 per share in New York. Mylan’s shares also went up by 1.2% to settle at $73.57. The speculation also affected Teva’s American Depository receipts that received a 1% increment to $61.54.
The pharmaceutical industry has experienced a record number of acquisitions in 2015 alone. The acquisition affair between the three companies is another addition to the drug industry’s recent hive of lucrative activities.