Perrigo CEO: There is no easy path for Mylan
Perrigo chief executive officer Joseph Papa, in his first comments on the unsolicited acquisition attempt since Israel's Teva Pharmaceutical Industries dropped its pursuit of Mylan in favor of another deal, reiterated that the $205 per share offer substantially undervalues Perrigo.
On a call to discuss quarterly results Papa said the Perrigo board's rejection of Mylan was unanimous and had nothing to do with Teva walking away from its attempt to buy Mylan in favor of a $40.5 billion deal for Allergan's generics business.
However, Papa said, "the market movement following Teva's announcement last week only reinforced our conviction about the Mylan offer."
Mylan shareholders are set to vote on whether to move ahead with the takeover attempt August 28.
"I make no prediction on how the Mylan shareholders will vote but I want to remind everyone, including the Mylan shareholders, that if they proceed with a tender offer for Perrigo this will not be the easy path that some are painting it to be," Papa said.
"The bar for success in a tender offer process is a very high 80 percent of all outstanding Perrigo shares." ■