I'm told that some of Amag's largest shareholders aren't happy at all with this Allos merger. Whether that anger and frustration is enough to compel anyone to try to stop the deal from closing remains to be seen. What I do know, talking to some of Amag's shareholders, is that management needs to do a better job selling the merits of merging with Allos.
Lastly, you have to feel bad for Allos shareholders, who are really getting the shaft. The merger, as proposed, has no collar, only a fixed payout ratio, so the payday falls as Amag's stock price falls. The deal, as announced Wednesday morning, valued Allos at $2.44 a share, a smallish 18% premium. As of Thursday midday trading, the merger with Amag valued Allos at $2.05 -- technically a take-under, no premium.
If Allos shareholders want someone to blame for their shabby treatment, direct your ire to Warburg Pincus, Allos' largest shareholder, which wanted a speedy, no muss exit from its position, according to sources.
Brent B. asks,
"Any new information or opinions on Nymox
(NYMX)? Your last article on Nymox was open ended due to the lack of information given by
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