Anatomy of a long-delayed biotech buyout: With its stock price beaten down, abandoned by potential bidders, Tesaro wound up in GSK’s eager arms
When the board at Tesaro $TSRO first cheered on a move to sell the company on February 23rd, 2017, spurred by a nod from an interested pharma player as their PARP drug Zejula closed in a near-certain FDA approval, the sizzling-hot stock was selling at more than $186 a share.
None of the companies they contacted to try and spark an auction, though, were interested enough to make an offer. And by the time Tesaro’s board and CEO Lonnie Moulder got around to completing a buyout deal 21 months later, they did it with a pharma giant that wasn’t even on their original hit list — and came away with well under half of the share price they started out with.
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