Amarin Corp Plc (AMRN)

[HDGabor]

M-

Year: 2014
Target Company: Idenix
Premium: 239%
Buyer: Merck & Co.
Upfront Deal Value ($ m): 3,900
Overall Deal Value ($ m): 3,900

To say the market cap has nothing to do with a buyout is the dumbest thing I've ever read on here, and that is saying A LOT! Buyout offers are based on the current valuation of the company, with the premium being the way to get shareholders to agree to it.

Target / Buyer / Deal Value ($ m)

Hexal Pharma (Eon Labs) / Novartis / 8,300
Ratiopharm / Teva / 4,950
Nycomed / Takeda / 13,680
Actavis / Watson Pharmaceuticals / 5,820
Bausch & Lomb / Valeant / 8,700

What were the market value of the target companies before the BO? I could not find any info ... Oh, wait: the buyers had to pull out it from the thin air, since these were PRIVATE companies. Market value exists in case of public company only. If "Buyout offers are based on the current valuation of the company, with the premium" private compnies would not be BO'd ever ... but in the real world they were ...

Market is speaking loud and clear on what it thinks about this company and its potential.

And we know that the market is correct always, predict the exact future ...

Best,
G