California-based Depomed Inc. rejected a revised, $33 per share hostile takeover proposal from Horizon Pharma, saying it undervalues the company.
Dublin-based Horizon Pharma first approached rival Depomed in May and after being rejected, went public with an unsolicited offer valued at $29.25 per share in July. Depomed rejected the offer, adopting a poison pill -- or shareholder rights plan -- to discourage takeover without the board's approval.
Depomed’s board said in a press statement that Horizon's higher offer merely reflects the rise in Depomed's stock price and is not a true increase.
According to Reuters, Horizon Pharma has said that it will now "consider other options to pressure Depomed."
Read the Reuters press release