Shire and Baxalta announce merger
Shire plc and Baxalta Incorporated announced today that both companies have reached an agreement under which Shire will combine with Baxalta. This union will result in a new leading company in the biotechnology and rare diseases field with estimated 20 billion USD in product sales by 2020 as said in a press release.
Baxalta spun out of Baxter only 6 months ago and soon after Shire made a proposal to acquire it but the offer was rejected. With this second proposal Shire’s offer approximately amounts to 32 billion USD in cash and stock.
“This proposed combination allows us to realize our vision of building the leading biotechnology company focused on rare diseases”, stated this Monday Flemming Ornskov, Shire chief executive.
The transaction has been approved by the boards of directors of both pharmaceutical companies, while subject to shareholder and regulatory approval, it is expected to close by the middle of this year.
Registration No. 1058005