MALVERN, Pa. (AP) Endo Health is buying the Canadian specialty drug maker Paladin Labs for about $1.5 billion, and both will then be folded into a newly-formed Irish holding company.
Paladin shareholders will receive 1.6331 shares of stock in the new company and 1.16 Canadian dollars ($1.11) in cash
for each share.
Based on Endo's Monday closing stock price of $43.64, the stock portion of the deal is worth $71.27, bringing the total value to $72.38 per Paladin share. That represents an 18 percent premium over the closing price for Paladin Labs Inc. of 63.91 Canadian dollars ($61.36).
Investors in Endo Health Solutions Inc., which is based in Malvern, Pa., will receive one share of stock in the reformed company New Endo for each of their Endo shares.
