Canada’s Valeant Pharmaceuticals to acquire surgical device maker Synergitics

Canada's Valeant Pharmaceuticals International Inc has agreed to acquire surgical device maker Synergetics USA Inc, in its eighth acquisition so far this year.

Valent said yesterday it would start a tender offer for the acquisition of all outstanding shares of Synergetics for $6.50 per share, at a 48 per cent premium to Synergetics' Tuesday close on the Nasdaq.

Shares of Synergetics, a maker of surgical devices for ophthalmology and neurosurgery, were trading at $6.68 at close of trading on Wednesday.

At $6.50, the offer is worth around $166 million on the basis of Synergetics' diluted outstanding shares as of 30 April.

The acquisition, which is expected to close in the fourth quarter, was aimed at the expansion of Bausch + Lomb's business, the company said. The company was bought by Valeant for $8.7 billion in 2013.

The Synergetics offer comes less than two weeks after the company's $1 billion acquisition of Sprout Pharmaceuticals, which made a controversial new drug to treat low sexual desire in women.

Shareholders of Synergetics would receive additional cash payment of up to $1 per share, after certain sales milestones were met and the transaction is closed.

Meanwhile, Rigrodsky & Long, PA announced that it was investigating potential legal claims against the board of directors of Synergetics USA, Inc regarding possible breaches of fiduciary duties and other violations of law related to the company's entry into an agreement to be acquired by Valeant Pharmaceuticals International, Inc.

The investigation concerned whether Synergetics' board of directors failed to adequately shop the company and obtain the best possible value for Synergetics's shareholders before entering into an agreement with Valeant. According to Yahoo! Finance, at least one analyst has issued a price target for Synergetics' stock at $7.00 per share.   

Owners of Synergetics stock who had purchased it before 2 September 2015, if they had information or would like to learn more about these claims, or if they wished to discuss these matters or had any questions concerning this announcement or their rights or interests with respect to these matters, has been asked to contact Seth D Rigrodsky or Gina M Serra at Rigrodsky & Long.

Rigrodsky & Long, PA, with offices in Wilmington, Delaware and Garden City, New York, regularly engages in litigation involving securities, derivative and direct actions, shareholder rights and corporate governance, on behalf of shareholders in states and federal courts throughout the US.