Mylan admits that bid for Dublin-based Perrigo has failed

Generic drug maker Mylan said on Friday that 40 per cent of Perrigo 's shares were tendered in its $26 billion hostile takeover offer, falling short of the goal of 50 per cent.

With the deadline for the offer expiring on Friday, Mylan said 58 million Perrigo ordinary shares had been validly tendered.

Netherlands-based Mylan made its first public offer for Dublin-based Perrigo in April and pursued a hostile takeover when it was rejected.

Mylan’s offer of $75 plus 2.3 Mylan shares was worth about $174.36 per share, based on Mylan’s Thursday close of $43.20, or about $26 billion for all outstanding Perrigo shares.

The deal's rejection will now focus investors' attention on Perrigo's standalone strategy. Chief executive Joseph Papa has said he is open to dealmaking, and sources familiar with the matter said earlier on Thursday that the company had held merger talks with Endo International earlier this year.

Perrigo reported a better-than-expected profit for the third quarter last month, and said it would lay off 6 per cent of its global workforce and buy back shares worth $2 billion.

Reuters