Mylan lowers shareholder acceptance bar as it continues to push Perrigo takeover bid

MarketsAssociated Press

Mylan lowered the bar for shareholder approval in its ongoing hostile bid for rival pharmaceutical company Perrigo.

"Mylan remains fully committed to completing the acquisition of Perrigo and today's action even further demonstrates this commitment," Executive Chairman Robert Coury said in a printed statement.

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The generic drugmaker on Thursday dropped the acceptance condition that comes with its offer to greater than 50 percent of Perrigo ordinary shares, down from not less than 80 percent.

Mylan plans to initiate its offer for shares of Perrigo Co. Plc after its own shareholders vote on the proposal on Aug. 28.

Mylan NV, based in the Netherlands, has been trying for months to strike a deal with Perrigo, which has rejected repeated overtures. In April, Mylan raised its per-share offer to $232.23 in cash and stock. That adds up to about $34.1 billion.

A combination of Mylan and Dublin drugmaker would create one of the world's largest makers of generic and over-the-counter medications.

Mylan was formerly based in Canonsburg, Pennsylvania, just outside of Pittsburgh, but reincorporated in the Netherlands as part of an acquisition that lowered its taxes. Earlier this year, Mylan snubbed several takeover offers from the Israeli drugmaker Teva Pharmaceutical Industries Ltd.

U.S.-traded shares of Perrigo rose $2.29 to $188.35 shortly before markets opened Thursday.