Will Mitsubishi's High Offer Price For CNS Target NeuroDerm Deter Others?

Japan's Mitsubishi Tanabe Pharma is offering to buy Israeli CNS specialist NeuroDerm for $1.1bn and the 79% pre-rumor stock price premium may put off other potential suitors.

Laboratory
Mitsubishi Tanabe Pharma Is Buying CNS Specialist NeuroDerm • Source: Shutterstock

Searching to replenish its drug pipeline, Japan's Mitsubishi Tanabe Pharma Corp. has "zeroed in" on NeuroDerm Ltd.'s promising stable of CNS assets, offering to buy the Israeli target for $1.1bn in cash, a price some analysts think will ensure no competing counter-offers materialize.

Terms of the transaction, backed unanimously by NeuroDerm’s board of directors, is $39 per share in cash, implying an equity value of some $1

More from Deals

More from Business