Life Sciences Research (LSR) has entered into a merger agreement to be acquired by Lion Holdings, for $8.50 per share in cash.
Under the terms of the agreement, LSR stockholders, other than Mr. Baker and his affiliates, will receive $8.50 in cash for each outstanding share of LSR common stock. It represents a premium of approximately 77% over LSR’s closing share price of $4.79 on March 3, 2009, the last trading day prior to public announcement of Mr. Baker’s initial proposal to acquire the company for $7.50 per share. The $8.50 per share purchase price also represents a premium of 13% over Mr. Baker’s initial proposal, and a premium of 18% over LSR’s closing share price of $7.18 on July 8, 2009.
The transaction is expected to close in the fourth quarter of 2009 and is subject to certain closing conditions, including approval by LSR stockholders and the absence of a company material adverse effect and other closing conditions.
Mr. Baker said: “I am delighted that the Special Committee has unanimously recommended, and the Board has approved, this transaction. I look forward to continuing to work with the outstanding employees of the company.”