Posts tagged “PPD”
Lowe's, PPD, SAS, Bank of America and Martin Marietta also crack the top 200 in the annual ranking of information technology trend-setters as selected by InformationWeek magazine.
Pozen CEO says there are lessons to be learned from its past partnership deals as the Chapel Hill firm seeks another one.
"We expect growth in the CRO industry to continue accelerating into 2012 and the rise of the strategic partnership model should concentrate these benefits in the hands of a select group of narrow-moat providers," says a Morningstar analyst.
PPD CEO Ray Hill has stepped down from the clinical research organization a week after PPD's acquisition by The Carlyle Group and Hellman & Friedman was finalized. He departs with a $3 million severance package for running the company since September.
Even as shareholders approve the $3.9 billion sale of the contract research organization to private equity groups, the future role of PPD management remains unclear.
The Wilmington-based contract research organization has scheduled a meeting for shareholders to vote whether to approve the sale to private equity firms The Carlyle Group and Hellman & Friedman. Online and telephone voting closed Tuesday night.
There's a slim chance another bidder could eclipse the $33.25 offer that was ultimately reached. The sale agreement includes a "go shop" provision that allows PPD to consider higher bids if submitted within 30 days of the October 2 merger agreement. Morgan Stanley has contacted a total of 22 parties: nine companies and 13 financial entities.
If Ray Hill is on his way out, the CRO has made no such indications. In the proxy statement filed with the SEC, the company includes a letter from PPD founder and Chairman Fred Eshelman distributed to all employees. In the letter, Eshelman said: "Nothing will change in our day-to-day operations as a result of this transaction. Our management team is working closely together to ensure the company remains focused on our current objectives and strategy. We believe the experience and leadership skills of our senior management team, including CEO Ray Hill, and all of our employees will add great value as we navigate through this transition."
Fred Eshelman, the founder and chairman of the Wilmington life sciences services firm, is also its largest individual stock holder with nearly 7 million shares. The announced going private deal on Monday also doesn't mean PPD won't be worth more before a deal is done. Bloomberg says the deal price was higher before the recent market downturn.
The Wilmington-based life science services firm has the option to pursue a better deal over the next 30 days. If a deal is consumated, PPD will become a private company owned by The Carlyle Group and Hellman & Friedman.