Acquisition of PROLOR Biotech, Inc. by OPKO Health, Inc. May Not Be in the
Best Interests of PROLOR Shareholders
SAN DIEGO, Calif. and NES-ZIONA, Israel, April 24, 2013
SAN DIEGO, Calif.and NES-ZIONA, Israel, April 24, 2013 /PRNewswire/
--Shareholder rights attorneys at Robbins Arroyo LLP are investigating the
acquisition of PROLOR Biotech, Inc. (NYSE MKT: PBTH) by OPKO Health, Inc.
(NYSE: OPK). On April 24, 2013, PROLOR and OPKO announced the signing of a
definitive merger agreement whereby PROLOR shareholders will receive 0.9951
shares of OPKO common stock for each share of PROLOR common stock owned, a
value of approximately $7.00 per PROLOR share. The transaction is expected to
close during the second half of 2013.
The Board of Director's Actions May Prevent PROLOR Shareholders from Receiving
Maximum Value for Their Stock
Robbins Arroyo LLP's investigation focuses on whether the board of directors
at PROLOR is undertaking a fair process to obtain maximum value and adequately
compensate its shareholders in the merger or whether they are seeking to
benefit themselves. Notably, Dr. Philip Frost is both Chairman of the Board
of PROLOR and CEO and the Chairman of OPKO. Given this fact, the firm is
investigating whether the merger was motivated by conflicts of interest in
light of Dr. Frost's significant position in both companies.
Is the Acquisition Best for PROLOR and Its Shareholders?
Moreover, PROLOR is currently in the process of developing multiple products,
all of which could lead to be very financially successful for the company.
Specifically, PROLOR's Human Growth Hormone, used for the long-term treatment
of children and adults with growth failure, is scheduled for Phase III trials
and has a claimed potential market opportunity of $3 billion. Further, PROLOR
also has two products currently in Phase I testing, both of which have claimed
potential market opportunities of $2 billion: GLP-1, used in the treatment for
Type II Diabetes which is believed to have a dramatically better weight-loss
profile than GLP-1 therapies currently available, and Factor VIIa and Factor
IX, both used in the treatment of Hemophilia.
The firm is examining the board of directors' decision to sell PROLOR now
rather than allow shareholders to continue to participate in the company's
continued success and future growth prospects.
PROLOR shareholders have the option to file a class action lawsuit to secure
the best possible price for shareholders and the disclosure of material
information so shareholders can vote on the transaction in an informed manner.
PROLOR shareholders interested in information about their rights and
potential remedies can contact Darnell R. Donahue at (800) 350-6003,
firstname.lastname@example.org, or via the shareholder information form on the
Robbins Arroyo LLP is a nationally recognized leader in securities litigation
and shareholder rights law. The firm represents individual and institutional
investors in shareholder derivative and securities class action lawsuits, and
has helped its clients realize more than $1 billion of value for themselves
and the companies in which they have invested. For more information, please
go to http://www.robbinsarroyo.com.
Press release link:
Attorney Advertising. Past results do not guarantee a similar outcome.
Darnell R. Donahue
Robbins Arroyo LLP
(619) 525-3990 or Toll Free (800) 350-6003
SOURCE Robbins Arroyo LLP
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