CANONSBURG (dpa-AFX) - Dutch generic drug maker Mylan N.V.'s (MYL) Executive Chairman Robert Coury may sweeten the company's cash-and-stock offer for Perrigo Co. (PRGO) by adding terms to reduce the risk to its shareholders, Bloomberg reported.
In private meetings with investors, Robert Coury reportedly was adamant that Mylan won't be bought by Teva Pharmaceutical Industries Ltd. (TEVA), which has made an unsolicited bid for Mylan. Teva's offer for Mylan is contingent on Mylan dropping its bid for Perrigo.
Instead, Coury reportedly laid out other scenarios that could play out. In one possibility, Coury suggested a Mylan-Perrigo combination would be an attractive future target for Pfizer Inc. (PFE), and that Pfizer could use a deal to move its legal address abroad and lower its tax rate.
Perrigo has rejected Mylan's most recent offer of $75 in cash and 2.3 Mylan shares for each Perrigo share. Coury reportedly said Mylan could add payments to Perrigo in the event a deal fell apart, or include other sweeteners to reduce the risk to Perrigo shareholders.
Mylan has made two unsolicited takeover overtures for Perrigo. Perrigo has rejected those offers.
Meanwhile, In late-April, Mylan rejected Teva Pharmaceutical's $40 billion acquisition offer as it undervalues the company and carries antitrust risks, dashing Teva's hopes for a deal that will help it dominate the global generic drug space.
At the meetings with investors, Coury also brought up the idea that Mylan could eventually make a deal with Novartis AG's generic business Sandoz. One possibility raised was Mylan buying Sandoz in exchange for a stock stake in Mylan, the report said.
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