Advertise With UsAdvertise on our extensive network of industry websites and newsletters.
Get the PBR newsletterSign up to our free email to get all the latest PBR
news.Pfizer is expected to formally pull out from its £70bn takeover bid for AstraZeneca as the put up or shut up deadline will officially expire on 26 May 2014.
Subscribe to our email newsletter
According to reports, New York-based Pfizer could announce its decision to walk out of its bid.
Under the acquisition rules in the UK, Pfizer can resume negotiations after a three-month cooling-off period if AstraZeneca begins them. Otherwise, Pfizer must wait for six months to make a new bid.
On 19 May 2014, AstraZeneca’s board had clearly rejected Pfizer’s final proposal. As per Pfizer’s improved proposal, AstraZeneca shareholders would receive, for each AstraZeneca share, 1.747 shares in the combined entity and 2,476 pence in cash, representing an indicative value of £55.
Pfizer had said that its improved proposal of £55 per share is final and will not be increased. This new proposal makes a substantial increase of about 15% over the current value of Pfizer’s 2 May proposal of £62.6bn.
On 2 May 2014, Pfizer had made a proposal to AstraZeneca, pursuant to which AstraZeneca shareholders would receive, for each AstraZeneca share, 1.845 shares in the combined entity and 1,598 pence in cash. The proposal represents an indicative value of £50 ($84.47) per AstraZeneca share.