Proactive Investors - Dechra Pharmaceuticals PLC (LON:DPH) shares soared nearly 40% in early trading after the firm confirmed after the market close on Thursday it had received a bid approach from private equity firm, EQT.
Under the terms of the possible offer, Dechra shareholders would receive 4,070 pence per ordinary share in cash, a premium of around 49% to last night’s closing price of 2,733.53p.
The bid would value the veterinary pharmaceutical company at around £4.6bn.
Dechra said that should an offer be made it would recommend shareholders accept it.
In February, Dechra said revenue in the six months to December 31 rose 14% to £377.4mln from £332.4mln a year before. Pre-tax profit fell sharply to £29.7mln from £53.4mln, as operating profit fell to £44.6mln from £57.4mln a year before.
At the time, the firm said it expects full-year underlying operating profit to be at the lower end of analyst expectations.
Shares rose 37% to 3,806p each in early exchanges.