Novator, the investment firm led by Bjorgolfur Thor Bjorgolfsson, today announces that it will make a voluntary takeover offer for the entire class A common shares of Actavis Group hf. Parties related to Novator currently hold approximately 38.5% of the total class A common shares of Actavis Group hf. Mr. Bjorgolfsson is the Chairman of the Board of Directors of Actavis. Novator's intention is to acquire the entire class A common shares of the Company. The offer will be made in Euros, by a new Company in the Novator Group. The offer price will be EUR 0,98 per share, which at the Icelandic Central Bank Fixing Exchange Rate for the Euro on May 9th equals ISK 85,23 per share. This represents a 9% premium to the Company's closing price at the OMX stock exchange on May 9th. This will be the highest price ever offered for the Company's shares, representing a premium of more than 21% to the six-month average closing price. Novator is of the opinion that this price fairly reflects the underlying value of the Company and is also fair when compared to other listed generic pharmaceutical companies and recent industry transactions. The generic pharmaceutical industry has undergone rapid changes in recent years. Consolidation is continuously gaining pace, competition for leading positions in key markets is becoming ever more fierce, and pricing pressures continue to intensify. In such an environment, Novator views it as important for the successful future growth of the Company that it is taken private. In that way, it is no longer restrained by the obligations and requirements which are placed on listed companies, including that of disclosure. Therefore, Novator will seek delisting of Actavis from the OMX stock exchange as soon as practically possible. Novator intends to fund a significant element of the transaction through debt funding. Therefore, it is clear that following the transaction, Actavis will be considerably leveraged on a consolidated basis. Novator will seek to adopt a more entrepreneurial and hence riskier approach to the Company's operations, to reduce the number of members of the Board of Directors and have significantly reduced public reporting responsibilities. Novator is of the opinion that the added risk, arising from increased leveraged and from a more aggressive style of corporate management, is not appropriate for general investors and that they should be presented with the opportunity to exit before such changes occur. Novator hopes that the management and employees of Actavis will react favourably to this transaction and very much looks forward to a continued fruitful relationship. The offer to all holders of class A common shares, along with the conditions thereof, will be formally made shortly, in accordance with provisions of the Icelandic Securities Act no. 33/2003 on voluntary takeover bids.
- Novator makes a voluntary takeover offer for the entire class A common shares of Actavis Group
| Source: Actavis Group hf.