Monday, December 18, 2006
Caremark Merger News
The Wall Street Journal reported overnight that "Pharmacy benefit manager Express Scripts is preparing to launch a $26 billion cash and stock offer for rival Caremark Rx, in an effort to break up the company's existing takeover deal with drug chain CVS." Express Scripts this morning confirmed the bid in a press release. According to Bloomberg.com, "Caremark investors would receive $58.50 in cash and stock for each share, 15 percent more than the Dec. 15 closing price, St. Louis, Missouri-based Express Scripts said in an e-mailed statement. CVS agreed to buy Caremark for $48.53 a share on Nov. 1, offering shareholders no premium." Caremark shares closed at $50.30 on Friday.