PLIVA acquisition ‘a step closer’

The acquisition of PLIVA, the Croatian pharmaceutical company, may be a step closer after Barr Laboratories formally published its offer to PLIVA stockholders.

Barr’s offer has been published in the Croatian press and comes after the Croatian mergers regulatory authority (HANFA) approved the takeover. The American company intends to offer 755 kunas (70.18 pounds) per share, compared to 735 kunas per share as detailed in Actavis’ rival offer for PLIVA, which is still undergoing regulatory approval.

Both companies claim that their operations represent the best “synergies” for PLIVA, which is one of the fastest growing pharmaceutical companies in the UK and is listed on the London Stock Exchange.

For Barr’s bid to be successful, more than 50 per cent of shares must have been acquired.

Bruce L Downey, Barr’s chairman and chief executive officer, remarked: “With the tender process now underway, Barr is committed to the successful acquisition of PLIVA.”

“We have access to the necessary capital to successfully complete this transaction and we encourage all PLIVA investors to become completely acquainted with the terms of our offer, as formally published,” he added.

Actavis claims its offer would create the world’s third-largest generics manufacturer in the world, with the ability to take on some of the world’s biggest pharmaceutical powers.

Barr, meanwhile, says the businesses have complementary product portfolios with little overlap. It also stated its intention to “headquarter” its European operations in Croatia.

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