Deals
Shire Shares Extend Drop After AbbVie Backtracks on Deal
This article is for subscribers only.
Shire Plc stock plunged for a second day after AbbVie Inc.’s board recommended that shareholders vote against a 32.5 billion-pound ($52 billion) takeover of the maker of rare-disease treatments, citing a change in tax rules that would undermine the deal’s rationale.
Shire fell 7.3 percent to close at 37.18 pounds in London trading. The stock lost 22 percent yesterday after AbbVie said it was reconsidering support for the acquisition. The cash-and-stock offer values Shire at about 55.07 pounds a share based on yesterday’s closing price for AbbVie.