In a statement on its Web site, the FTC said its complaint against the deal alleges "the combination of the two largest U.S. long-term care pharmacies would harm competition and enable Omnicare to raise the price of drugs for Medicare Part D consumers and others."
Shares of PharMerica were last quoted at $12.25, down 14.3%, on volume of more than 215,000, according to Nasdaq.com. Based on Friday's regular-session close at $14.30, the stock was up nearly 30% in the past year, hitting a 52-week high of $16.15 on Nov. 8.
Earlier Friday, Omnicare, whose stock was off 1.4% in the extended session, announced it had extended its tender offer to purchase all outstanding shares of PharMerica for $15 each until Feb. 17. PharMerica has said in the past that Omnicare's bid undervalues the company and advised shareholders not to tender their holdings to the tender offer. Omnicare said that as of Thursday, roughly 4.7 million PharMerica shares had been tendered to the offer, roughly 16% of the company's outstanding stock.Omnicare first revealed its offer to buy PharMerica for $15 per share in late August, In a press release at that time, Omnicare said the all-cash bid was worth a total of $716 million, including assumption of debt, and that the consideration represented a premium of more than 35% to the previous session's closing price. "If Omnicare is allowed to purchase its biggest and only national competitor, it will diminish competition and raise health care costs -- leaving taxpayers and patients to foot the bill," said Richard Feinstein, Director of the FTC's Bureau of Competition, in a statement. "The Bureau will continue to be vigilant in our efforts to prevent these sorts of anticompetitive deals."
Amylin PharmaceuticalsAmylin Pharmaceuticals (AMLN) was a big mover to the upside in the extended session on Friday after the company received U.S. regulatory approval for its diabetes drug Bydureon. The stock was last quoted at $14.20, up 17%, on volume of 4.22 million, according to Nasdaq.com. Based on Friday's regular-session close at $12.14, the shares were down nearly 30% in the past year, scraping a 52-week low of $8.03 on Oct. 4.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
24/7 market commentary from Jim Cramer and 20+ veteran Wall Street gurus. Get access to the latest trading ideas on stocks, options, and ETFs as well as a real-time forum to see the pros exchanging their investment ideas.
- Jim Cramer + 20 Wall Street pros
- Intraday commentary & news
- Real-time trading forum
- Actionable trade ideas
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV