The board of Northern Ireland drug company Warner Chilcott is to back a takeover offer by Waren Acquisition Limited, a company controlled by the private equity divisions of CSFB and JP Morgan.
The price of 862p per share values the company at around £1.6 billion. This price includes a 3p per share interim dividend for the year to the end of September, which will not be paid separately if the deal goes through.
Warner Chilcott, which specialises in women's health and skin products, is listed in Dublin, London and New York.
Two other parties had been in talks with the company about a possible takeover, and earlier this week it said it had received an offer of 837p per share, though it did not identify the bidder.
Executive chairman Dr John King said the deal provided shareholders with 'certainty of value at an attractive level'.
The news came as the company reported that revenues in the final quarter of its financial year were 10% lower than a year earlier at $125m, though revenues for the full year to the end of September were up 20% at $523m. Pre-tax profits for the quarter rose slightly to $42.4m.
Shares in the drugs company closed 48 cent higher at €12.46 in Dublin this evening - a gain of over 4%.
