AbbVie acquires Shire for $ 54.8 Billion

AbbVie acquires Shire for $ 54.8 Billion

AbbVie acquires Shire for $ 54.8 Billion

AbbVie, the pharmaceutical jaggernaut, agreed on Friday to acquire its European rival Shire in the biggest takeover deal this year for $54.8 billion.

Shire shareholders will own 25 percent of the new combined company. Under of terms of the Merger Shire Shareholders receive in respect of each Shire Share £24.44 or $41.82 in cash and 0.8960 in new AbbVie Shares.

“We’re creating a unique, diversified biopharmaceutical company,” AbbVie’s chief executive, Richard A. Gonzalez, said in a statement on Friday. “The combination would provide us with enhanced access to cash that we can use to expand our portfolio and fund M&A to supplement organic growth.”

New AbbVie shares will be listed on the New York Stock Exchange. AbbVie said it had agreed to pay Shire at least $500 million in a break-up fee if the deal is not completed, according to a company statement.

 

Mr.Stakebay says:

Deal between AbbVie and Shire means another consolidation in pharmaceutical busniess after Mylan Laboratories or Pfizer. One of reasons could be lower tax rates in Europe and portfolio diversification. This new company would be leader in the fields of immunology, rare diseases, metabolic diseases and neuroscience.

CEO of Shire ………………………………………. Flemming Ornskov, MD ………………..(2013-present)…………………$2 100 000 (2013)

Chairman & CEO of AbbVie……………………….Richard A. Gonzalez……………………..(2013-present)………………… $7 949 217 (2012)

 

ABBVIE SHIRE Plc
Revenue $ 18.79 billion (2013) $ 4.93 billion (2013)
Operating income $5.664 billion (2013) $1.733 billion (2013)
Profit $4.128 billion (2013) $665.1 million (2013)
Total assets $ 29.198 billion (2013) $8. 32 billion (2013)
Total Equity $ 4.492 billion (2013) $5. 36 billion (2013)
Employees 25 000(2013) 5338(2013)

 

 

 

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