Analyst Expects Bristol to Settle Over $6 Billion Bet That Didn’t Pay Out
“Earlier this month, investors sued Bristol Myers Squibb over a payment the company doesn’t think it needs to make. Now, one analyst says that he thinks that Bristol will settle As part of that deal, Bristol agreed to give Celgene holders a payout of $9 a share, called a contingent value right, if three Celgene treatments hit certain regulatory benchmarks,” reports Josh Nathan Kazis in Barron’s.
“This past New Year’s Day, Bristol announced that the CVR had automatically terminated. While the U.S. Food and Drug Administration approved all three of the drugs, one of the approvals came roughly a month past the pre-set deadline after pandemic-related travel restrictions delayed an FDA inspection.”