Depomed's board asks shareholders to reject Horizon Pharma's offer

14 September 2015

Depomed (Nasdaq: DEPO) on Monday said its board is "unanimously determined to recommend that shareholders reject Ireland-incorporated Horizon Pharma’s (Nasdaq: HZNP) unsolicited takeover offer for the company.

This is latest in the line of rejections where Depomed has asked the shareholders to put down Horizon’s offer to exchange each of Depomed’s shares with 0.95 of Horizon shares.

Jim Schoeneck, chief executive, and Peter Staple, chairman of Depomed, said the exchange offer "significantly undervalues Depomed, is inadequate and is not in the best interests of Depomed and its shareholders." They added: "We remain very confident in the growth prospects of Nucynta and our strong portfolio of products for pain and neurology related disorders. We continue to believe that Horizon's exchange offer is opportunistic and would transfer the future value of Depomed to Horizon at a price we believe does not represent the value of Depomed's assets, business and prospects."

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