Astellas Pharma To Acquire OSI
Under the terms of the merger agreement, Astellas will increase its offer price to $57.50 per share, which represents a premium of 55 percent to the closing price for OSI’s shares of $37.02. The boards of directors of both companies have approved the combination.
The combined company creates an oncology platform supporting Astellas’ stated strategy of becoming a global category in Oncology, a therapeutic area for Astellas. OSI commercializes Tarceva (erlotinib), a cancer medication. OSI’s total annual revenues for 2009, as reported in its form 10-K were $428m and operating income was $153m.
Masafumi Nogimori, president and CEO of Astellas, said: “The merger with OSI provides Astellas with a top-tier oncology platform in the US and an expanded product portfolio and pipelines. In addition to Tarceva, we are pleased to add its oncology infrastructure, discovery platform, expanded pipelines and talent base to our existing businesses.”
Colin Goddard, CEO of OSI, said: “We believe today's announcement recognizes the significant value we have built for our stockholders while providing the merged companies the opportunity to forge a stronger collective path forward in a shared mission to provide innovative new medicines to patients around the world.”
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