By Lisa Kerner
Charlotte, N.C., Jan. 16 - Express Scripts, Inc. is beginning an exchange offer for all outstanding shares of Caremark Rx, Inc. as it moves forward with plans to acquire the company.
Express Scripts said it is taking action in response to the Caremark board's rejection of its proposal, according to a company news release.
Specifically, Express Scripts is offering Caremark stockholders $29.25 in cash and 0.426 shares of Express Scripts stock for each share of Caremark stock, for an approximate value of $56.87 per share, or a total of $25 billion. The offer expires at midnight on Feb. 13.
The Maryland Heights, Mo., provider of pharmacy benefit management services believes its offer to Caremark stockholders is superior and offers a "greater certainty of value than the CVS/Caremark combination," the release stated.
Caremark is a pharmaceutical services company based in Nashville, Tenn.
| Acquirer: | Express Scripts, Inc.
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| Target: | Caremark Rx, Inc.
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| Price per share: | $29.25 cash, plus 0.426 shares of Express Scripts stock
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| Transaction value: | $25 billion
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| Announcement date: | Jan. 16
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| Expected closing: | Feb. 13
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| Stock price for target: | NYSE: CMX; $56.83 on Jan. 12
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| Stock price for acquirer: | Nasdaq: ESRX; $64.83 on Jan. 12
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