Elan is on the rise as it announced its second major deal last Monday. This announcement comes with another buyback offer to shareholders as the company girds to hunker down against the US$5.7 billion bid offer from Royalty Pharma.
After it had rejected the offer, the pharmaceutical firm is now on a buyback spree and along the way, picking up another US$1 billion drug royalties deal.
The deals recently reached by Elen include purchase of Austrian rare drug firm AOP Orphan for Eur263.5 million or US$337 million as well as purchasing a 48% stake in exchange for US$40 million for Newbridge Pharmaceuticals, a sales and marketing firm based out of Dubai.
Counting out the recent purchases, the company would still have US$1.2 billion to spend should the said acquisitions be approved by shareholders. According to CEO Kelly Martin, more deals are to come for the firm.
In an interview with Reuters, Martin said, "The timing of this has nothing to do with the Royalty offer itself but it's being communicated this way because this allows shareholders a choice."
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