Alliance Pharma has accepted a \u00a3350m takeover bid from its largest shareholder DBAY Affiliates.<\/p>\n
The Chippenham-headquartered healthcare group sells over-the-counter and prescription drugs around the world, with its brands including Kelo-Cote, Anbesol and Lypsyl.<\/p>\n
The 62.5p-per-share, all-cash offer is at a 41% premium to last night’s closing share price, and more than double the value when DBAY first made an approach to the Alliance board – in the wake of the chief executive Peter Butterfield departing and its annual results being delayed last May.<\/p>\n
Asset management firm DBAY has been acquiring Alliance shares for more than two years and now controls 27.9% of the company.<\/p>\n
In a statement, it said: “DBAY is supportive of Alliance’s leadership team and believes in Alliance’s future prospects but considers that Alliance needs to implement a range of operational and strategic initiatives, in conjunction with a period of accelerated investment and selective acquisitions of complementary products, in order to fulfil the growth potential of the business.<\/p>\n
“It has become apparent to DBAY that Alliance needs time away from the public market to allow it to fully deliver these initiatives in a reasonable timeframe.”<\/p>\n
Alliance faces some international challenges. Around 30% of its revenue comes from China, “and a much larger proportion of profit”, it said, which it acknowledges is “exposed to significant geopolitical risk”. Separately, its North Amercian business has seen declining revenues for two years.<\/p>\n","protected":false},"excerpt":{"rendered":"
Largest shareholder moves to take the company private<\/p>\n","protected":false},"author":18,"featured_media":1076,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,120781],"coauthors":[81],"class_list":["post-18391","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-deals","category-markets","tag-top-story","tag-wiltshire"],"yoast_head":"\n