Shares in global healthcare company BTG (BTG) have rallied 34% to 824p after Boston Scientific agreed a recommended cash offer of 840p per share, valuing the business at £3.3bn.
Boston Scientific is offering a 36.6% premium to BTG’s closing price of 615p on Monday as it seeks to build on its $1.2bn peripheral interventional portfolio with the interventional medicine platform.
The company also wants to snap up BTG’s profitable portfolio of lifesaving drugs and the licensing business to generate a stream of royalties.
The takeover offer could be seen as an opportunistic move as shares in BTG traded 17.1% lower in the year to Monday before the deal was revealed.
BTG recently upgraded its pharmaceutical sales guidance for the second time in six weeks.
Earlier this year, the company suffered a setback after being forced to set aside £53.5m to cover damages for breaching a distribution deal with Wellstat Therapeutics.
BTG warned in April it will recognise a £150m impairment charge for severe emphysema treatment PneumRx Coil following disappointing sales, while there were concerns over varicose veins drug Varithena though these now appear to be disappating.
Completion of the deal is likely as BTG directors have recommended shareholders approve the proposed takeover.
