The takeover offer will now go to Shire’s shareholders for approval, having received backing from Dublin, Ireland-based Shire’s board of directors, according to a press release.
In the deal, Takeda will offer approximately 0.839 new Takeda shares and $30.33 for each Shire ordinary share, equaling out to approximately $68.33 (GBP £49) per share. Shire shareholders would also be entitled to dividends announced, declared, made or paid by Shire, according to the release.
Upon closure of the deal, Shire shareholders will hold approximately 50% of the newly formed Takeda. The deal will still be reliant on a due diligence review from Takeda and approval by both boards, according to Shire’s release.
The acquisition, if completed, will mark the largest overseas acquisition ever by a Japanese company, according to a Boston Globe report.
The approved proposal was the fifth from Takeda since late March, improving upon its previously rejected offer of approximately $60 billion. Early yesterday, reports came in that Takeda had sweetened its $60 billion deal, which seems to have come to fruition today.
Last week, Allergan (NYSE:AGN) flip-flopped on its interest in Shire, announcing that it was considering an acquisition and quickly following it up with an announcement that it does not intend to consider any such offers in the future.