Mergers & Acquisitions: Express Scripts and Medco Merger in Jeopardy, Apache Buys ExxonMobil Assets
Though Express Scripts (NASDAQ:ESRX) and Medco (NYSE:MHS) spoke before the House antitrust subcommittee yesterday, saying their planned merger wouldn’t threaten competition, Bernstein continues the deal only has an 80% likelihood of being completed. Concerns that the government won’t allow the deal to go through has Medco trading roughly 20% below the offer price.
Allos Therapeutics (NASDAQ:ALTH) has disclosed an acquisition offer by AMAG Pharmaceuticals (NASDAQ:AMAG) for $2.20 a share, though the board has not recommended the proposal. After an offer from MSMB Capital, Allos shareholders have opposed AMAG’s planned buyout.
Apache (NYSE:APA) will pay ExxonMobil (NYSE:XOM) $1.75 billion for its U.K. North Sea assets, boosting Apache’s North Sea production by 54% and proved reserves, of which the assets are said to have 68 million barrels of oil equivalent, by 44%.
Australian brewer Foster’s (PINK:FBRWF) has agreed to be acquired by SABMiller (PINK:SBMRF) for A$9.9 billion ($10.2 billion USD). Foster’s had rejected previous offers from SABMiller.
Rumor has it United Technologies (NYSE:UTX) is in final negotiations to acquire aerospace firm Goodrich (NYSE:GR). The deal, of undetermined size, could be closed within the next couple days, according to sources. Rumors of the deal have pushed up Goodrich shares by 33% over the last five days.