Shareholders approve Shire's merger with Baxalta

Dublin-based Shire's proposal to acquire Baxalta for around US$32bn has been approved by the shareholders of both firms.

The combination will create 'the leading global biotechnology company in rare diseases and other highly specialised conditions' with projected revenues of more than $20bn by 2020, the firms said.

Under the merger agreement, at closing Baxalta shareholders will receive $18.00 in cash and either 0.1482 Shire ADSs or 0.4446 Shire Ordinary shares per Baxalta share.

On 11 January, the two companies entered into a 'definitive merger agreement' under which Shire would acquire Baxalta in a stock and cash deal. The completion of the transaction remains subject to certain other closing conditions, but is expected to close on or about 3 June.

Shire Chief Executive Officer, Flemming Ornskov, said: 'The combination will allow us to realise our goal of building the leading global biotechnology company focused on rare diseases and other highly specialised conditions, offering greater opportunities for our patients, healthcare partners and employees.'

The combined company will have products in haematology; immunology; neuroscience; lysosomal storage diseases; gastrointestinal/endocrine; and hereditary angioedema (HAE). It will also have a growing franchise in oncology, with approved products and innovative compounds in development, as well as a robust late-stage ophthalmics pipeline.

It will also benefit from expanded geographic reach across more than 100 countries.