Perrigo was none too fond of Mylan's most recent offer when it made it back in April. Yet it looks like that's the one Mylan's sticking with--at least for now.
Mylan is sending its CFO, John Sheehan, on the road in Israel.
Teva has upped its Mylan stake yet again--this time, passing a critical threshold that could help it pose a legal challenge to its generics rival.
Mylan can breathe a little easier knowing it has support from its largest shareholder in its quest to pick up Perrigo. After all, it's not just a big buyout at stake--but the opportunity to thwart its own unwanted takeover by generics rival Teva.
Lately, Perrigo's shown it would rather be the acquirer than the acquired--and it continued down that path Tuesday.
The speculation is building this week that Pfizer will either attempt another megadeal with GlaxoSmithKline or another run on AstraZeneca. Either would cut Pfizer's tax rate and give it some products to salve its various ills, lackluster stock price and poor performing portfolio. But the new thinking, like in the last 24 hours, is that smaller deals, perhaps a buyout of Shire or even Perrigo, or both, are better bets.
Perrigo's not opposed to striking a pact with Mylan--as long as the price is right. The bad news for its suitor, though, is that right now, it's nowhere close.
Patheon has been on an M&A blitz, buying up specialty manufacturers that can help it broaden its network as it muscles up as a global CDMO. But the North Carolina-based company is unafraid to shed assets that no longer fit that blueprint and so is selling a plant in Mexico to over-the-counter king Perrigo.
So far, Perrigo hasn't seemed too keen on selling itself to generics giant Mylan. It's rejected the U.S. drugmaker three times. But word has it that Perrigo tried to link arms with another generics giant on the block--and that's Mylan suitor Teva.
With Mylan's second bid for Perrigo, it actually hit below the first bid the Irish drugmaker rejected, Perrigo contended. But now, Mylan is back with a third offer to set things straight.