By RTT News,
July 08, 2014, 10:04:00 AM EDT
(RTTNews.com) - Shire Plc (SHP.L, SHPG) said Tuesday that its board will meet to consider revised buyout proposal from U.S. drugmaker AbbVie Inc. ( ABBV ), and will make further announcement in due course.
Meanwhile, Shire advised its shareholders that not to take any action in relation to the AbbVie proposal. There can be no certainty that any firm offer will be made nor as to the terms on which any firm offer might be made.
Earlier today, U.S. drugmaker AbbVie sid that it has made a fourth offer to acquire Ireland-based rival Shire, raising its offer by about 11 percent to 51.15 pounds per share.
Under AbbVie's revised indicative proposal, Shire shareholders will receive 22.44 pounds in cash and 0.8568 ordinary shares of New AbbVie for each Shire share held by them. The revised offer represents an indicative value of 51.15 pounds per share or $87.56 per share, as of July 7, 2014.
AbbVie's latest offer represents an increase of about 11 percent or approximately 3 billion pounds to its prior indicative offer value of 46.26 pounds per share. It also represents a 48 percent premium to Shire's closing share price of 34.67 pounds on May 2, 2014, the last practicable date prior to AbbVie's initial proposal.
AbbVie said it strongly encourages Shire shareholders to consider its fourth proposal and communicate their perspective to Shire's board in view of the July 18, 2014 deadline.
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