Auxilium Pharmaceuticals, Inc. Gets $2.2 Billion Unsolicited Bid

Auxilium Pharmaceuticals, Inc. AUXL got an unsolicited bid Tuesday to be acquired for $28.10 a share from British-based Endo International plc ENDP.

The proposal values Auxilium at $2.2 billion and includes an equal mix of cash and Endo stock. Endo said it would use existing cash and debt to fund the deal.

Auxilium traded recently in the extended session at $30.70 up 42.66 percent. Endo was up 4.34% to $68.00 a share after hours.

Endo said it "is ready to engage immediately" with Auxilium to negotiate a definitive agreement. Auxilium didn't offer an immediate response.

Auxilium recently unveiled a restructuring plan designed to slash operating costs and consolidate its sales force.

With a market capitalization of $1.13 billion, Auxilium has seen falling sales in recent quarters while its shares area down nearly 28 percent in the past six months.

Endo's Chief Executive Rajiv De Silva said the proposal offers Auxilium shareholders "a substantial premium" for their holdings "as well as the opportunity to participate in the upside potential of a leading global specialty healthcare company."