Pharmaceutical products company Abbott Laboratories announced plans to buy Facet Biotech Corp. for $450 million in cash on Tuesday. The completion of the deal would mean the company could expand their access biotechnology drugs, primarily with a potential treatment for multiple sclerosis.
By the second quarter of this year, Facet and partner company Biogen Idec expect to move prospective multiple sclerosis drug daclizumab into late-stage development. Additionally, Facet is has a number of potential cancer treatments in disparate stages of development.
Abbott is purchasing facet for $27 per share, a 67 percent excess on Tuesdays Facet closing price of $16.21 T. The deal has already been approved by boards of both company and should be completed by the second quarter of 2010.
The deal will not change Abbott's previous profit expectation for according to the company though a one-time charge is anticipated.
Shares of Abbott slid 35 cents to $54.45 in after-hours trading closing up at $54.80 in regular trading.
Facet Biotech shares surged to $27.11 after-hours, up 67 percent rise from closing. Prior to today Facet’s highest price was $18.35 with a low of less than $6.00.
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