Merck and Schering-Plough receive approval for merger from EC, US,
Swiss and Canadian regulators
30 October 2009
Pharmaceutical companies Merck & Co., Inc. (NYSE: MRK) and
Schering-Plough Corporation (NYSE: SGP) announced last week that they
had received clearance for the merger from the European Commission (EC)
under the EC Merger Regulation.
Yesterday they announced that they had also received approval from the
US Federal Trade Commission (FTC), the Swiss Competition Commission and
the Canadian Competition Bureau for their proposed merger.
The companies said that the US FTC terminated the waiting period
under the Hart-Scott-Rodino Improvements Act of 1976, as amended, and
cleared the pending merger. The companies also stated that the Canadian
Competition Bureau terminated the waiting period under the Canadian
Competition Act and cleared the proposed transaction.
Richard T. Clark, chairman, president and chief executive officer of
Merck said, "As we work with regulators on the remaining approvals
necessary for the close, we stand ready to serve patient needs as a new
global healthcare leader."
The transaction remains subject to approval from other regulators,
including China and Mexico. Merck and Schering-Plough continue to expect
the transaction to close in the fourth quarter of 2009.
From a low in March of around 21, The Merck stock price reached a
yearly high of just under 34 on 19 Oct but has since fallen to just over
31, by close on Oct 29.
Schering Plough has also climbed steadily this year, reaching a high
of 29.9 on Oct 20, and fell to 28.4 on Oct 29.