CSL Seals $11.7B Buyout Deal Of Vifor Pharma, Probably the Largest Healthcare Deal In 2021

Australian biopharma CSL Ltd CSLLY has agreed to acquire Vifor Pharma AG GNHAY for $11.7 billion (equity value) in a move to diversify its business. 

• The all-cash purchase at $179.25 per share represents a 40% premium on the 60-day average price of Vifor's stock as of December 1.
• The $12.3 billion (fully diluted shares and debt) / A$17.2 billion deal consideration will be funded through a combination of A$6.3 billion ($4.5 billion) fully underwritten placement, $6.0 billion / A$8.4 billion new debt, and existing cash / undrawn facilities.
• The deal would give CSL, heavily dependent on vaccines and blood plasma products, Vifor's therapeutic offerings for iron deficiency, nephrology, and cardio-renal conditions.
• The transaction would be the largest in the industry this year, topping $11.5 billion Merck & Co Inc MRK paid for Acceleron Pharma Inc.
• The price was considerably higher than anticipated. The Australian Financial Review reported that CSL was eying a potential deal for around $7.1 billion two weeks ago.
• Price Action: GNHAY shares are up 4.36% at $32.54, CSLLY shares are down 4.59% at $100.63 during the market session on the last check Tuesday.