Endo withdraws proposal for SalixStaff writer ▼ | March 16, 2015
Endo International confirmed that it is withdrawing its cash and stock proposal to acquire Salix Pharmaceuticals, Ltd.
Deal off Endo is moving forward
"While we are disappointed with this outcome, we have been and will continue to be disciplined in our approach to potential acquisitions. We would like to wish Salix and Valeant continued success as they move forward with their transaction.
"As a next step, Endo is focusing our attention on other opportunities in our robust deal pipeline and on maximizing our organic growth initiatives including progressing our R&D pipeline. We will continue to drive Endo's growth as a global leader in specialty pharmaceuticals and look forward to creating value for our shareholders while improving patients' lives," Endo said in the press statement.
On March 11, Endo confirmed that it has submitted a proposal to the board of Salix Pharmaceuticals to acquire all of the its outstanding shares of common stock in a negotiated cash and stock transaction.
Based on the closing stock price of Endo on March 10, 2015, the transaction was valued at $175 per Salix share.
The offer was 11% higher than Valeant’s agreement to pay $158 a share for Salix Pharmaceuticals last month. Endo also would have pay a $356 million breakup fee, $5.50 per share, that would be owed to Valeant should Salix walk away from the deal. ■