PLIVA endorses Barr's offer
The Supervisory Board of PLIVA, the largest pharmaceuticals company by turnover in Central and Eastern Europe, has endorsed Barr Pharmaceuticals" offer to purchase 100% of its shares for US$2.2 bn (euro 1.76 bn) in cash.
The Supervisory Board of PLIVA, the largest pharmaceuticals company by turnover in Central and Eastern Europe, has endorsed Barr Pharmaceuticals" offer to purchase 100% of its shares for US$2.2 bn (euro 1.76 bn) in cash.
PLIVA, headquartered in Zagreb, Croatia, has been engaged in discussions with a number of parties, about its acquisition. Under the terms of Barr's proposal, Barr would pay PLIVA shareholders HRK 705 cash for each PLIVA share, which equates to approximately $24.42 per each Global Depositary Receipt at current exchange rates.
The proposal is conditional upon antitrust approvals in Germany and the US and Barr receiving acceptances, which result in it holding more than 50% of total PLIVA share capital.
The combination of PLIVA and the US-based Barr will create a global pharmaceutical business with annual revenues of around $ 2.5bn. It will have a fully integrated generics platform with manufacturing, development and marketing expertise, a low cost manufacturing base situated in CEE, enhanced r&d capabilities and a strengthened product portfolio.
Zeljko Covic, ceo of PLIVA, said: "PLIVA's Supervisory and Management Boards have assessed the whole range of options available to the company, including that of remaining a standalone business, and have concluded that Barr's proposal maximises value for all PLIVA shareholders".