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Complete 12 pages APA formatted article: Pfizers Unsuccessful Takeover of Astrazeneca.
Complete 12 pages APA formatted article: Pfizers Unsuccessful Takeover of Astrazeneca. On 25th November 2013, Pfizer, a US company expressed its interest to enter into a merger with AstraZeneca. This is a crucial stage of initiating a merger, where the interested party expresses for the first time the consideration for a merger. The second stage of the merger is the high-level discussion in which the two parties sit down and discuss in detail the path they are going to follow in the merger. At this point, the interested company proposes its offer to which the other party may accept or reject. On 5th January 2015, the two companies held high-level talks in which Pfizer offered $58 per share (Farrell, 2014). After considering the offer, the AstraZeneca rejected the offer and the no more discussion was held after January. The step of Pfizer to go public on its interest to merge with AstraZeneca in April 2014 is an important stage of the merger. The main purpose of this stage is to draw the public assessment into the merger and consider the logistics behind its association. At this point, other multinational companies have the opportunity to consider the offer evaluate and criticize it. The national government also is called at this point to intervene in merger and to consider whether the offer is to the public’s interest. From this point, the leader of the company engages the parliament before the science and technology committee to further negotiate on the offer. Later on, the company offers a higher bid and promises to give $69 per year and to absorb about 20% of the researchers for at least five years (Farrell, 2014). At this stage, AstraZeneca has an opportunity to reconsider how this offer would affect their business. The CEO of the company needs to obtain information on how the merger would benefit its company and how his management would achieve their goals. The fact that the company rejects the offer at this stage shows that the company is bound to .lose from the bond.