Rottapharm bought by Meda, beating valuation in pulled IPO

By Andrew Griffin
31 Jul 2014

Rottapharm Madaus, the Italian drug firm that pulled its IPO amid tough markets just three weeks ago, has been acquired by a Swedish peer company at a valuation nearly 20% above the top of the range in the failed IPO. Meda will finance the €2.3bn deal through the debt and equity markets.

Meda will buy Rottapharm for Skr21.2bn (€2.275bn), including net debt of Skr2.8bn. That implies an equity value of Skr18.4bn (€1.975bn).

The IPO had been set to value the firm at €1.425bn-€1.7bn. It was pulled on July 10 as markets plunged amid worries about Banco Esp

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