6 Must-See Stock Trades for Friday: AAPL, QRVO, GES, SQ, EA >>> READ MORE

Zeltiq Aesthetics Inc (ZLTQ) Stock Soars on$2.5B Allergan (AGN) Deal

By William White, InvestorPlace Writer

http://bit.ly/2lIu0QY

Zeltiq Aesthetics Inc (NASDAQ:ZLTQ) stock was up on Monday following news that Allergan plc Ordinary Shares (NYSE:AGN) will acquire it.

Allergan plc Ordinary Shares, AGN,  Zeltiq Aesthetics Inc, ZLTQ Allergan plc Ordinary Shares is planning to acquire Zeltiq Aesthetics Inc for $2.475 billion. This will have it paying $56.50 per share for ZLTQ. This represents a roughly 14% premium over the stock’s closing price on Friday, which was the last day of trading before the deal was announced.

Allergan plc Ordinary Shares says that the acquisition of Zeltiq Aesthetics Inc will be immediately accretive to its earnings. The pharmaceutical company also notes that ZLTQ’s CoolSculpting System is the leader in the body contouring market. This market is a $4 billion opportunity for the company and is still growing.

“With CoolSculpting, our offerings to plastic surgeons, dermatologists and aesthetic practitioners will now extend to three of the largest and fastest-growing segments of their practices, putting Allergan in a unique position to provide expanded customer service, and help meet the needs of patients,”  Brent Saunders, Chairman and CEO of Allergan plc Ordinary Shares, said in a statement.

Allergan plc Ordinary Shares is expecting its acquisition of Zeltiq Aesthetics Inc to be completed during the second half of 2017. The deal still needs approval from ZLTQ shareholders, as well as from regulators.

Moelis & Co (NYSE:MC) is Allergan plc Ordinary Shares’ financial advisor and Debevoise & Plimpton LLP is its legal advisor. Zeltiq Aesthetics Inc is getting financial advice from Guggenheim Securities and legal advice from Cooley LLP.

ZLTQ stock was up 12% and AGN stock was up slightly as of Monday morning.


Article printed from InvestorPlace Media, https://investorplace.com/2017/02/zeltiq-aesthetics-inc-zltq-stock-soars-on2-5b-allergan-agn-deal/.

©2019 InvestorPlace Media, LLC