With the stockholder vote passed and Sun Pharma’s financing syndicated, the equity is no longer a claim on a pharmaceutical business but on a $14.00 cash payment; the question is whether a 3.9% spread pays for a 44% tail.
Organon trades as a merger stub against Sun Pharma’s $14.00 all-cash offer.
The decisive fact is that the heavy conditions are behind it: stockholders approved the deal on 23 July, the HSR notification was filed on 21 May, and the acquisition financing has been fully syndicated.
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