Shareholder Abbott Laboratories Supports Mylan’s Bid for Perrigo

PITTSBURGH (Pittsburgh Post-Gazette/TNS) —

Abbott Laboratories, Mylan’s largest shareholder with a 14.5 percent stake, said Tuesday that it plans to support the generic drug company’s effort to buy rival drug maker Perrigo.

Mylan, which is headquartered in the Netherlands but has its operations base outside Pittsburgh, has said it will hold a special meeting of Mylan shareholders early in the third quarter to seek approval for the Perrigo transaction, which Perrigo’s board has rejected. Mylan has not yet set a specific date for the meeting.

If successful, the acquisition of Perrigo would thwart Teva Pharmaceutical Industries’ hostile bid for Mylan.

Abbott officials “believe Mylan’s standalone strategy and acquisition of Perrigo will further enhance its platform, is strategically compelling, value enhancing for shareholders and offers a clear path to completion,” Abbott CEO Miles White said in a statement.

In response, Mylan executive chairman Robert Coury said: “We are very pleased that, while Abbott is under no obligation to do so, Abbott has voluntarily chosen to express its support of Mylan.”

Abbott, based in Chicago, became Mylan’s largest shareholder in February when Mylan bought a major chunk of Abbott’s generic operations outside of the United States.

Denise Bradley, a Teva spokeswoman, said: “There is a strong strategic and cultural fit in combining Teva and Mylan, and Teva remains fully committed to consummating a transaction that greatly benefits our respective stockholders, customers, patients and employees.”

To Read The Full Story

Are you already a subscriber?
Click to log in!

Hamodia Logo