Merz Pharma Group said it has withdrawn its non-binding proposal to acquire all of the outstanding shares of Obagi Medical Products, Inc. (OMPI) for $22 per share cash. This withdrawal follows the recent announcement that Valeant Pharmaceuticals International, Inc. (VRX, VRX.TO) raised its offer to acquire Obagi from $19.75 to $24.00 per share cash, according to an amendment to the Valeant and Obagi Agreement and Plan of Merger, dated March 19, 2013.
Merz CEO Philip Burchard noted: "However, Merz is a disciplined buyer and at this level the economics of such a transaction do not meet our requirements. We look forward to exploring other acquisition opportunities that fit our strategy. In addition, we will build on Merz's strong position in the markets we serve and continue to invest in our own R&D."
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