Post by
StockPicker88 on Feb 10, 2016 9:02pm
Mylan to Acquire Meda in $9.9B Deal
Long story short. Mylan bought this European specialty pharma company for almost $10bn, which is equivalent of 13x EBITDA.
The deal was probably over-valued. But CXR looks rediculously cheap at these levels. Take-out offer is very possible.
https://finance.yahoo.com/news/mylan-acquire-meda-210100443.html
Comment by
StockPicker88 on Feb 10, 2016 9:12pm
Add more color to it. Meda stock dropped from $160 local currency in August to $80 today. Share price jumped up more than 100% to almost $170 after hour once the news came out. It's like the sell-off never happened!
Comment by
cashflow98 on Feb 10, 2016 9:25pm
Thanks for the post StockPicker88. Some food for thought for CXR investors for sure. I would imagine that any takeover would be priced no lower than $65USD based on Cinven's interest, presumably a premium above that price would be in order.
Comment by
adamchess on Feb 11, 2016 1:06am
Guessing an offer like this to Concordia would land the shorts in some serious trouble and looking to the rest of us for donations - lol. This acquisition should at least put the shorts on reminder that cheap stocks are good takeover targets and super risky short plays if not covered end of day.