Salix Pharmaceuticals Inc., Santarus deal
Salix will acquire Santarus for $32 per share in cash, or about $2.6 billion. The price is a 38% premium to Santarus' close of $23.22 on Nov. 7, before the deal was announced. Salix said the deal "solidifies its position" in the gastrointestinal market; the combined company will have 22 marketed products, including Santarus' heartburn drug Zegerid omeprazole and ulcerative colitis drug Uceris budesonide MMX and Salix's constipation drug Relistor methylnaltrexone. Zegerid is a proton pump inhibitor (PPI) immediate-release powder combined with an antacid; Uceris is budesonide delivered using MMX multi-matrix system technology from Cosmo Pharmaceuticals S.p.A. (SIX:COPN, Lainate, Italy); and Relistor is a peripheral mu opioid receptor ( OPRM1; MOR) antagonist. Salix had $676.2 million in revenue for the first nine months of 2013. Santarus recorded $267.6 million in revenues for the same period. The boards of both companies have approved the deal, which is expected to close next quarter. Salix will finance part of the acquisition through a $2 billion loan from Jefferies, which is financial advisor to Salix in the deal. Covington & Burling LLP is the company's legal advisor. Stifel is financial advisor to Santarus, and Latham & Watkins LLP is the company's legal advisor. ...