On Wednesday, Vanda Prescription drugs Inc. VNDA confirmed that, since March 2024, it had obtained a number of unsolicited proposals from Future Pak LLC to amass all of Vanda’s excellent shares.
The newest proposal provided $7.25 – $7.75 per share, topic to sure phrases and situations.
The present proposal implies a premium of 79.0% to 91.4% to Vanda’s closing value of $4.05 as of April 16, 2024.
The Vanda Board of Administrators concluded that the presents weren’t within the firm’s and its shareholders’ finest pursuits, because it considerably undervalued the corporate.
Vanda mentioned it had established a resilient enterprise with a various product set, a historical past of top-line development, and sturdy money circulate.
The Board believes the Conditional Proposals are opportunistic makes an attempt to buy the corporate’s shares at a reduction to Vanda’s intrinsic worth and would switch important worth to Future Pak on the expense of Vanda shareholders, together with roughly $6.751 per share in money and marketable securities.
Earlier this month, the FDA permitted Vanda’s Fanapt (iloperidone) tablets for the acute therapy of manic or blended episodes related to bipolar I dysfunction in adults, sending shares 30% larger.
The corporate says Future Pak’s newest unsolicited proposal supplies a mere 7–15% premium to such money steadiness, ascribing little or no worth to the corporate’s important income stream and pipeline.
Future Pak is a privately held contract producer and packager of pharmaceutical and nutraceutical merchandise.
In its letters to Vanda, Future Pak has additionally expressed a willingness to discover varied methods to enhance its proposal that might present Vanda shareholders further upside past the said money consideration.
Future Pak wouldn’t require a financing contingency in reference to a transaction and has the complete help of its strategic monetary accomplice, Colbeck Capital Administration.
Learn Subsequent: Vanda Prescription drugs Acquires Rights To A number of Sclerosis Drug From Johnson & Johnson’s Firm.
Worth Motion: VNDA shares are up 33.8% at $5.41 on the final verify Wednesday.
