Pfizer bags Medivation buyout with blowout $14B cash offer
Pfizer $PFE has struck a deal to buy Medivation $MDVN at a price CEO David Hung has been looking for. The two companies announced Monday morning that the pharma giant will pay $81.50 a share — about $14 billion — for Medivation, all of it in cold, hard cash. That’s far more than the $9.3 billion offer Sanofi used to get the auction started.
Medivation closed Friday with a market cap of $11.1 billion, giving the company a big premium to boast about to shareholders. Sanofi $SNY last bid $58 a share in cash and an extra $3 CVR for Medivation, which has consistently rejected the pharma company’s offers as grossly inadequate. A swirl of rumors has also put Merck $MRK, Celgene $CELG, Gilead $GILD and others at the bargaining table as well.
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