Astellas Gets Access to OSI's Books
TOKYO -- Astellas Pharma Inc. said Tuesday it has agreed to obtain non-public information from OSI Pharmaceuticals Inc. in exchange for freezing its takeover attempt.</br></br>Japan's second largest pharmaceutical company by sales said it agreed to OSI's standstill provision prohibiting any attempt to buy OSI shares through May 15, shortening the standstill period to six weeks from the two years OSI had originally wanted.</br></br>The agreement keeps alive Astellas' hope to buy the U.S. cancer drug maker by allowing it to more accurately estimate OSI's value and make a fresh offer in as soon as six weeks. It also gives OSI more time to find a buyer willing to top the Japanese company's $52-a-share offer.</br></br>OSI's new stance on the non-disclosure provision comes after a recent recommendation by the company's board to management. Extending its takeover attempt could improve Astellas' chances to successfully acquire OSI. Analysts didn't see $52 as an attractive offer, considering the recent OSI share price of around $59 on the Nasdaq stock market.</br></br>With a more accurate evaluation of OSI and a fresh offer price, Astellas has a better chance of convincing OSI shareholders to tender their shares.