M&A; Activity Around the Globe: AMAG, MSMB Capital Management, APOL, Carnegie Learning, Sundance Resources
Wednesday, August 03, 2021 10:58 AM

As the US stocks search for direction after previous days sell-off, several M&A activities took place around the world. Some notable M&A activities are discussed here.

AMAG Receives Takeover Bid of $381 Million

AMAG Pharmaceuticals Inc. (Nasdaq: AMAG) said Wednesday that it has received an unsolicited proposal from MSMB Capital Management to acquire all of AMAG’s outstanding stock for $18 per share in cash. AMAG’s Board of Directors will carefully consider and evaluate the MSMB proposal in due course and will inform AMAG stockholders of its position. AMAG Pharmaceuticals, Inc. is a biopharmaceutical company focused on the development and commercialization of a therapeutic iron compound to treat iron deficiency anemia. Amag, based in Lexington, Mass., said MSMB proposed to buy all of its outstanding stock for $18 per share in cash. That represents a 25 percent premium over the stock's closing price Tuesday of $14.39. Last month, Amag said it will buy drugmaker Allos Therapeutics Inc. for about $268 million in stock. The deal is designed to bolster its commercial portfolio and cuts costs. That deal is expected to close in the fourth quarter. AMAG is trading higher by 10.77 percent to $15.94 on Wednesday.

Apollo Group to Acquire Carnegie for Learning for $75 Million

Apollo Group Inc. (Nasdaq: APOL) said that it has entered into an agreement to acquire 100 percent of the stock of Carnegie Learning, Inc., a publisher of research-based math curricula including the adaptive Cognitive Tutor math software, for $75.0 million. In a separate transaction, Apollo also announced it has agreed to acquire related technology from Carnegie Mellon University for $21.5 million, payable over a 10-year period. The acquisitions allow Apollo to accelerate its efforts to incorporate adaptive learning into its academic platform and to provide tools to help raise student achievement in mathematics, which supports improved retention and graduation rates. Apollo anticipates the acquisitions will add value over the long term, but will result in charges of 7 cents per share to 9 cents per share to earnings in fiscal 2012. The acquisitions are anticipated to be completed during the first quarter of fiscal 2012. APOL is down 0.38 percent to $49.83 a share today.

Australia’s Sundance to Secure a Joint Venture or Accept Takeover by End 2011

Australia-based iron-ore explorer, Sundance Resources said Wednesday that it is developing a $4.6 billion iron ore project, and is aiming to secure a joint venture or bow to a takeover offer by the end of 2011. Sundance received an offer from its biggest shareholder, private Chinese firm Sichuan Hanlong, two weeks ago, valuing the group at $1.5 billion, but the two sides are at a stalemate. Hanlong is waiting for the governments of Cameroon and Congo to approve conventions for Sundance's Mbalam project before moving forward with a bid, while at the same time those conventions hinge on Sundance securing financing. The company had been in talks with at least five companies to sell a strategic stake in the Mbalam project before Hanlong unveiled its takeover offer for the company.