Savient to repurchase 10 million shares in oversubscribed tender

By Jennifer Chiou

New York, Sept. 12 - Savient Pharmaceuticals, Inc. said it expects to accept 10 million of the 12,682,159 shares tendered for repurchase in its modified Dutch auction tender offer.

The company intends to pay $6.80 per share. When the offer was announced, Savient said it would pay neither greater than $6.80 nor less than $5.80 per share for up to 10 million shares.

Savient noted that based on the response the proration factor is about 79%.

The tender offer, proration period and withdrawal rights expired at 9 a.m. ET on Sept. 12. The offer began on Aug. 14.

The 10 million shares represent 16.2% of the company's currently outstanding shares.

The tender offer will be financed from the company's existing cash.

Subject to applicable law, Savient previously said it reserves the right to accept for payment, according to the terms and conditions of the tender offer, up to an additional 2% of Savient's outstanding shares, or about 1.2 million shares.

"We are pleased to offer our shareholders this liquidity opportunity owing to the sale of our Rosemont Pharmaceuticals subsidiary last month," president and chief executive officer Christopher Clement said in a news release.

"We also believe that through this repurchase we have made a sound investment that underscores our confidence in Savient's future prospects."

Savient is a pharmaceutical company located in East Brunswick, N.J.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.