US generics firm will continue to seek other buyers
US generics group Par Pharmaceutical has agreed to be acquired for US$1.9bn by US-based private equity group TPG.
Under the terms of the deal, Par shareholders will receive $50.00 in cash for each share. This represents a premium of 37% over the closing share price on 13 July, the last full trading day before the announcement.
Patrick LePore, Par's chief executive, said TPG's ‘substantial resources and healthcare experience’ would enable the firm to continue to invest in its future long-term growth.
Todd Sisitsky, a partner at the investment firm, claimed that Par ‘is positioned to benefit from the strong macro trends of a greater focus on cost-effective healthcare solutions and the increasing demands from an aging population’.
Under the terms of the deal, Par may also ‘solicit superior proposals from third parties’ up to 24 August even though its board of directors has ‘unanimously approved’ the agreement. If there is no superior proposal, the transaction is expected to close in 2012, subject to customary approvals and closing conditions.