Shire plc: Buyout price will need to be at least $50bn ($240-245/share) for co to bit - CRT Capital
CRT Capital notes that ahead of Abbvie's call this morning, they continue to make the case that the ~$46.5bn offer for SHPG (equating to 8X rev/18.5X EBITDA) undervalues the company as comps' M&A deals are going for upwards of 20X. Tim puts the odds at 2:3 that SHPG is bought out but thinks the price will need to be at least $50bn ($240-245/share) for them to bite.