Replies to post #190279 on Biotech Values

[zipjet]

First rule of negotiation:

Never accept the first offer / never make the first off your best offer.

So yes, I would think TEVA will increase the offer.

:-)

[DewDiligence]

MYL has pretty good protection from TEVA’s hostile offer thanks to a poison pill it implemented under Dutch corporate law, which transfers responsibility for approving a merger to a foundation.

(MYL became a Dutch-domiciled company when it acquired ABT’s European branded-generics business; #msg-110385639.)

[zipjet]

MYL management will have to decide just how badly they want to stay in control. The drop in PRGO stock Friday, suggests that MYL will need to raise the offer again if they want the PRGO-poison-pill (PPP) approach to work. PPP seems the only sure way to defeat TEVA.

Absent PPP, or regulatory blockage, a sweetened TEVA offer of say $90 will win over enough shareholders for TEVA to win.

Fun watching corporations play chicken.

:-)

zip

Net combo long MYL and PRGO worked well Friday, closed MYL and holding PRGO at loss.

[DewDiligence]

H/t @IvanTheK.