- (Reuters) – Vanda (NASDAQ: VNDA) Pharmaceuticals said on Wednesday that it had turned down buyout proposals from contract manufacturer Future Pak and UK-based Cycle Pharmaceutical, stating that both bids undervalued the American pharmaceutical company.
- Vanda has turned down Future Pak’s takeover offer three times already. Vanda implemented a “poison pill” shareholder rights plan after its first bid from Future Pak in April to lessen the likelihood of a hostile acquisition.
- As part of a last-ditch effort to acquire Vanda, Future Pak increased the monetary element of its takeover bid last week. Along with previously suggested contingent value rights of around $4.27 per share, it increased the percentage to $8.50–$9.00 per share.
- Vanda would be valued at $466 million based on Cycle Pharma’s earlier this month takeover bid, which called for $8 in cash per share.
- The proposals were turned down by the Vanda board on Wednesday, with the reason given that “both significantly undervalue Vanda and are not in the best interests of the Company and its shareholders.”
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