Court date set to determine fate of Cosette's $672m takeover of Mayne Pharma
Make us a preferred source
Make us a preferred source on Google
The news: Mayne Pharma and takeover suitor North Carolina-based Cosette Pharmaceuticals will appear in court on 9 September to determine the validity of the US-based company’s attempt to terminate its proposed $672 million takeover.
The context: Mayne Pharma initiated court proceedings in the NSW Supreme Court against Cosette to push the scheme implementation deed (SID), agreed to in February.
Cosette served Mayne with a cross-claim on Friday evening. It seeks a declaration on whether the SID “has been validly terminated or is otherwise void" and "orders that Mayne Pharma pay to Cosette the Mayne Pharma Break Fee, and alternatively, unspecified damages,” according to a Mayne statement to the exchange.
“In addition, by the Cross-Claim Cosette alleges Mayne Pharma has engaged in misleading or deceptive conduct in breach of the Australian Consumer Law," it says.
Mayne does not believe that the matters raised in the cross-claim are materially different to those raised in the two termination notices issued by Cosette earlier this month.
The first notice alleges that a material adverse change has occurred at Mayne, while the second alleges that Mayne has breached the representation and warranty outlined in the SID.
Mayne shareholders are due to vote on the proposed acquisition on 18 June.
The source: ASX
