By Business Wirevia The Motley Fool
Filed under: Investing
Elan Announces Final Results of its Tender Offer
DUBLIN–(BUSINESS WIRE)– Elan Corporation, plc (NYS: ELN) (Elan) today announced the final results of its modified Dutch auction Tender Offer, to purchase its Ordinary Shares, including Ordinary Shares represented by American Depositary Shares (Shares), up to a maximum aggregate cost of US$1.0 billion, which closed at 8:00 a.m., Irish time, on April 18, 2013.
Key results of the Tender Offer
The key results of the Tender Offer are as follows:
- Tender Strike Price of $11.25, resulting in the retirement of 14.8% of the current Shares in issue
- Of the 116.4 million Shares tendered at the Strike Price, 92.3% (107.4 million Shares) were tendered by one corporate shareholder
- Only 6.1% of the total Shares in issue were tendered at $12.00 or less (excluding the corporate shareholder tender), and 16.0% were tendered above $12.00
- Only 4.3% of the total shares in issue were tendered at $11.75 or $12.00
- Excluding the corporate shareholder’s Shares, 73.1% of all other Shares in issue were not tendered at any price in the offered range of $11.25 to $13.00
- The Tender Offer is immediately accretive for all shareholders, reflecting the strategy of unlocking the value of Tysabri.
Further details of the Tendered Shares
The total number of Shares validly tendered and not withdrawn was 239,718,564 (the Tendered Shares). Of these, 107,396,285 were tendered by one corporate shareholder (17.9% of the current Shares in issue), and 132,322,279 were tendered by other shareholders (22.1% of the current Shares in issue). Elan has accepted for repurchase 88,888,888 Shares, representing 14.8% of Elan’s existing issued Shares to which voting rights attach, at a price of $11.25 per share (the Strike Price), for an aggregate purchase price of $1.0 billion.
The Tender Offer was oversubscribed and pursuant to the terms of the Tender Offer, Shares that were tendered at the Strike Price will be accepted on a pro rata basis. Elan has been informed by the tender agent and receiving agent that the
From: http://www.dailyfinance.com/2013/04/18/elan-announces-final-results-of-its-tender-offer/