Hospira completes offer for Javelin

July 02, 2010|Associated Press

INDIANAPOLIS — The drug and medical device maker Hospira Inc. has completed a tender offer to buy Javelin Pharmaceuticals shares and expects to finish an acquisition of the company by today.

Javelin, based in Cambridge, Mass., said yesterday that 79 percent of its outstanding shares of common stock were validly tendered and not withdrawn before the offer expired at midnight Wednesday.

Hospira, of Lake Forest, Ill., will increase its Javelin share ownership percentage by buying newly issued shares of the company’s common stock at the same price of $2.20 per share paid in the tender offer.

Hospira expects to complete the acquisition through a short-form merger without a Javelin shareholder vote, Javelin said.

Hospira first agreed to buy Javelin in April, and Javelin turned down an offer from Myriad Pharmaceuticals after accepting Hospira’s offer. But Hospira said in May that all conditions of the $145 million deal had not been satisfied, and Javelin then filed a lawsuit against Hospira.

On Monday, Javelin notified Hospira it is prepared to meet its obligations under the deal.

Javelin will become a wholly owned subsidiary of Hospira.

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