Northern Ireland based drugmaker Warner Chilcott agreed today to a €2.3 billion takeover by the private equity arms of investment banks CSFB and JP Morgan, spurning two rival suitors.
The 862p per share deal, made through bid vehicle Waren Acquisition Ltd, is a 33 per cent premium to Warner Chilcott's closing price on September 17th, the day before the women's healthcare specialist said it had received a takeover approach.
"We believe that the acquisition provides shareholders with certainty of value at an attractive level which reflects the quality of the Warner Chilcott business and its strong position in women's healthcare and dermatology," Warner Chilcott executive chairman Mr John King said in a statement.
Warner Chilcott, formerly known as Galen, said on Monday it had received a bid approach worth 837 pence a share, which sources familiar with the situation said was from a consortium of the private equity arm of Goldman Sachs and buyout firms The Blackstone Group and Texas Pacific Group.
Another private equity consortium comprising Bain Capital Partners, The Carlyle Group and Thomas H. Lee Partners, said yesteray it was also considering a bid, and advised shareholders against taking any action if a third party made an offer.
At 10:30 a.m., Warner Chilcott shares were 3.2 per cent higher at 864 pence.
Separately, the firm posted fourth-quarter earnings per share before goodwill and exceptional items of 26.9 U.S. cents, giving a total of 112 cents for the year to September 30.