BASF makes $845 million cash offer for Pronova BioPharma

22 November 2012

The world’s largest chemical company, BASF (BAS: DE), plans to acquire Norway’s Pronova BioPharma (OSE: PRON.OL), a pioneer in the field of research, development, and manufacturing of omega-3 fatty acids, in a deal valuing the company at 4.85 billion Norwegian kroner ($845 million).

Pronova is best known for its product Lovaza (omega-3-acid ethyl esters), which sold by the UK’s GlaxoSmithKline in the USA and by US firm Abbott Laboratories (under the trade name Omacor) in Europe.

BASF has reached an agreement with Pronova to make a recommended voluntary public takeover offer to Pronova’s shareholders, and will offer to pay 12.50 kroner in cash for each Pronova share. Pronova’s board and the management unanimously support BASF’s offer and recommend its acceptance. The offer corresponds to a premium of 24% above the volume-weighted average share price for Pronova’s shares in the six months prior to announcement of the public takeover offer.

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