Acquisition of Akorn by Fresenius at risk: Akorn sinks, -33%

German healthcare group Fresenius yesterday announced that it is investigating alleged breaches of FDA data integrity requirements relating to product development by Akorn. Fresenius acquired US-based Akorn one year ago for $4.3bn including debt. Should investigation confirm Fresenius’ suspicions before the 24th April deadline, the whole acquisition could be questioned or even canceled. In that case, Akorn will have to pay Fresenius a $129m deal termination fee. Investors have soon lost interest in Akorn’s shares (Nasdaq), which have lost approximately 33% in after-market trading.
(Source: WSJ)