Friday, 22 May 2015
Last updated 13 min ago
Dec 10 2013 | 1:24pm ET
Elliott Management today made good on its threat to try to sink the merger of two pharmaceutical distributors.
The activist hedge fund warned that it would not tender its shares in Celesio unless its would-be buyer, McKesson, "offers fair compensation to all Celesio shareholders and bondholders." McKesson's US$8.3 billion deal requires the tendering of 75% of Celesio shares; Elliott currently owns 25.16%.
Even after that stake is diluted by bond conversions, Elliott will still hold a 22.7% voting stake, which should be enough to block the deal.
McKesson can back out of a deal to buy a majority stake in Celesio from Franz Haniel & Cie if 75% of shares are not tendered. But Elliott does not seem concerned that the deal will die.
"We believe Celesio has other paths to maximize shareholder and bondholder value," Elliott said, suggesting that the company could be split: "Sell the wholesale business to a strategic bidder and the pharmacy business to a separate buyer."
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…