On November 5, 2009, CPP Investment Board (CPPIB) and TPG Capital (TPG) announced that they have entered into a definitive agreement to acquire IMS Health Incorporated (IMS) (NYSE: RX) for C$5.2 billion, including the assumption of debt. The agreement was unanimously approved by the IMS board of directors based upon the recommendation of the transaction committee that was established to undertake a review of IMS’s strategic alternatives. Under the agreement, IMS shareholders will receive C$22.00 cash for each share of IMS common stock they own, representing a premium of approximately 50% over the closing share price on Friday, October 16, 2009.
The transaction has fully committed financing, consisting of a combination of equity to be invested by TPG and CPPIB and debt financing to be provided by certain affiliates of Goldman, Sachs & Co., including its principal loan and mezzanine funds.
Completion of the transaction is expected to occur by the end of the first quarter of 2010, subject to approval of IMS shareholders, regulatory approvals and customary closing conditions.
The CPP Investment Board, headquartered in Toronto, is a professional investment management organization. The CPP Fund is C$116.6 billion of which C$18.4 billion represents private investments.
TPG Capital is a leading international private investment firm founded in 1992 with approximately US$45 billion of assets under management.
IMS Health Incorporated, headquarter in Norwalk, Connecticut, is a leading international provider of market intelligence to the pharmaceutical and healthcare industries.
Further information is found on Bloomberg.com and the Wall Street Journal's website.