Grifols opens with new stock market decline after takeover bid withdrawn and Gotham resurfaces with new allegations | Companies

Grifols shares opened this Thursday’s session with another decline in the stock market following Brookfield’s decision not to pursue a takeover bid for the pharmaceutical company by members of the founding family. In the first hour of trading, the securities fell nearly 4.6% to a low of 9.20 euros, leaving the group’s market capitalization below 5.9 billion euros, below the bid for the Canadian fund, which fell overall. amounted to about 6.450 million.

Shares fell more than 9% on Wednesday, sometimes more than 12%, to reach a price of 9.18 euros. The stock has fallen about 40% since January, when it was hit by a firestorm caused by bearish Gotham City Research’s accusations that it defamed reports.

The shock of Brookfield’s departure surprised creditors and opportunistic funds that had taken positions in the drug company in the face of a possible takeover bid. The latter collectively took positions close to 6% of capital.

Plus, the ghost of Gotham has reappeared. The bearish manager posted on social media this morning. Gotham cited a Bloomberg story that said four months after negotiations began, Brookfield was still awaiting information on related party transactions.

Likewise, Gotham recalls that Moody’s withdrew its ratings on Grifols last July because it did not have the necessary information or did not have adequate information to support its ratings on the pharmaceutical company’s debt.

Brookfield, which started the process due diligenceCNMV said yesterday that it had informed the transaction committee set up by Grifols that, under current circumstances, it was not in a position to proceed with a potential offer for the company.

The pharmaceutical company subsequently stated that its board of directors and Grifols management team remain fully committed to executing the strategic plan, which aims to enhance long-term value. “In keeping with this commitment, Grifols will soon announce Capital Markets Day, where it will present its strategic vision and key initiatives aimed at achieving growth opportunities and thereby maintaining sustainable performance,” the company said.

Grifols’ board of directors supported the development of the company’s results in the first nine months of the year, during which it increased its earnings by more than 9% and continued to reduce debt.