Chi­na Bi­o­log­ic re­jects $3.9B buy­out bid from ex-CEO; Leo Phar­ma bags atopic der­mati­tis drug for $17M up­front

→ Chi­na Bi­o­log­ic $CBPO has re­ject­ed a buy­out bid ini­ti­at­ed from a con­sor­tium led by oust­ed chair­man and CEO David Gao. The $3.9 bil­lion of­fer, the com­pa­ny says, “is not in the best in­ter­ests of the com­pa­ny and its share­hold­ers as it did not re­flect the in­trin­sic val­ue” of the com­pa­ny. That’s de­spite the fact that at $118 a share, the of­fer from Gao’s group — which in­cludes GL Cap­i­tal Group, Bank of Chi­na Group In­vest­ment Lim­it­ed and CDH In­vest­ments — was al­ready well ahead of the $3.65 bil­lion on the ta­ble from CITIC Cap­i­tal. In­ci­den­tal­ly, the com­pa­ny an­nounced that CITIC has with­drawn its pro­pos­al.

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