Tutogen rejects Zimmer buyout
This article was originally published in The Gray Sheet
Executive SummaryOrthopedic device maker Zimmer declines to increase its bid for biological implant device maker Tutogen Medical following the latter firm's rejection of an Aug. 9 verbal "indication of interest" to buy the company for $5.00-$6.00 per share. The offer values the company at about $80 mil.-$96 mil. Tutogen stock, which traded as high as $6.29 on Aug. 3, closed Aug. 11 at $4.93, down 2.3% for the day. Zimmer, which already owns 33% of Tutogen shares outstanding, having acquired its stake through its purchase of Centerpulse in 2003, began exploring a potential expansion of its investment in March. Tutogen maintains that the Zimmer offer is "inadequate." The firm "remains open to exploring other options for enhancing shareholder value." In light of the rejection, Zimmer says it has "determined not to pursue an acquisition...at this time." Tutogen recently reported fiscal second quarter sales of $9.1 mil., up 21% from a year ago, and net income of $22,000 versus a year-ago loss of $1.1 mil...
You may also be interested in...
Attorneys say Sarepta did not have an obligation to report its appeal, particularly since winning a formal dispute filing with the US FDA is a long shot.
Sarepta’s Vyondys: Renal Toxicity Concerns That Delayed Approval Get Enhanced Postmarketing Scrutiny, Label Warning
Sarepta must perform enhanced pharmacovigilance for serious renal toxicity events and rhabdomyolysis with the Duchenne muscular dystrophy drug, which carries a label warning for renal toxicity. Approval letter includes 2024 target completion date for ESSENCE confirmatory trial.
Efficacy data were striking to committee members, but they want to ensure postmarketing plans gather adequate data to address safety questions.