Tuesday, March 9, 2010

Abbot buys Facet Biotech for $27

A familiar name gets a bid. It was touted here at 10 in August, but I was gone before this bid.

Abbott Laboratories will bulk up its product pipeline with a $722 million deal for Facet Biotech Corp., which had rebuffed overtures from development partner Biogen Idec last year.

Biotechnology company Facet had been soliciting suitors since rejecting that offer, which last stood at $17.50 a share. Abbott is offering $27 a share, 67% above the company's closing price Tuesday.

"We believe this transaction provides full and fair value for our stockholders and validates the potential of Facet's clinical and technology assets," said Faheem Hasnain, president and chief executive of Facet. The Redwood, Calif., company had repeatedly said Biogen's offer was inadequate.

And Biogen with their paltry $17 bid, done in an attempt to steal the company, is left at the altar!

They believed what the chart said!


Anonymous said...

wow...wonder if people knew...i sold out of it when it hit 17.

db said...

this was a great call I had 2 K sold 1/2 @ 18 and felt like a fool when it started to to sink to 16 ...I just kept going over how much cash the had it was the only thing to keep me long ...I went long NAT on your recommendation as well ....nice going Pal