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UK: Terms of Shire takeover deal revealed

By  |  July 21, 2014

US-based pharmaceutical conglomerate AbbVie is set to acquire UK rival Shire in a deal worth $54.5 billion, according to reports.

The two were first reported to have entered merger discussions in early May of this year, though no terms had been reached. Now, reports say the agreed-upon details represents 53 percent premium over Shire stock prices.

As part of the takeover, AbbVie agreed to a $1.6 billion breakup fee, say reports. Following the transaction, Shire shareholders will own about one-quarter of the newly combined company.

The deal remains subject to regulatory approval.

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