, Columnists
M&A Shouldn't Be This Easy
Shire has got an auction going almost effortlessly. Just don't expect it to go far.
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M&A shouldn't be this easy. London-listed drugmaker Shire Plc has nudged Japan's Takeda Pharmaceutical Co. to up its takeover proposal twice to 44 billion pounds ($62.5 billion). Allergan Plc said on Thursday it was considering a bid only to say it wouldn’t after its shares suffered a bad reaction. This auction may have a bit further to go.
Takeda must have thought it was dangling a knockout price for Shire. While the target rejected the 46.50 pounds-a-share proposal, it has at least opened talks. Not surprising given the price mooted is 51 percent higher than where Shire's shares stood before the would-be purchaser popped up.