Merus (MRUS) Soars to New High on Genmab Merger at 41% Premium

We recently published 10 Stocks With 10-60% Upside. Merus NV is one of the top performers on Monday.

Shares of Merus NV soared to a new record high on Monday, as investors gobbled up shares following news that it was set to be acquired by Genmab AS at a 41-percent premium.

In a statement, Genmab AS said that it entered into an agreement with Merus NV for the acquisition of the latter, through its subsidiary, Purchaser, for $8 billion.

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Under the deal, Purchaser will acquire all of Merus NV’s outstanding shares at a price of $97 apiece.

The tender offer is subject to the satisfaction of customary closing conditions, including a minimum acceptance condition of at least 80 percent of Merus NV’s common shares.

The companies said the purchase price stands at a 41-percent premium over Merus NV’s $68.89 closing price on September 26, and approximately 44 percent over its 30-day volume-weighted average price of $67.42.

Genmab said it will finance the transaction through a combination of cash on hand and approximately $5.5 billion of non-convertible debt financing. Genmab has obtained a funding commitment from Morgan Stanley Senior Funding, Inc. for the said amount.

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This article is originally published at Insider Monkey.