Biotech Values

[DewDiligence]

OPK acquires BRLI for $1.5B in stock:

http://finance.yahoo.com/news/opko-health-acquire-bio-reference-120000209.html

Under the terms of the agreement, which has been approved by the Boards of Directors of both companies, holders of BRLI common stock will receive 2.75 shares of OPKO common stock for each share of BRLI common stock. Based on a closing price of $19.12 per share of OPKO common stock on June 3, 2015, the transaction is valued at approximately $1.47 billion, or $52.58 per share of BRLI common stock. The Companies expect the transaction to be completed during the second half of 2015. Closing of the transaction is subject to approval of Bio-Reference Laboratories’ shareholders and other customary conditions.

The nominal consideration of $52.58 represents a 60% premium to BRLI’s closing price yesterday; however, OPK is trading sharply down today, so the exchange value of 2.75 OPK shares is currently worth about $48.