The Special Committee of Independent Directors of Patheon Inc. (TSX:PTI) and Lonza Group AG (SIX:LONN) today announced the extension until October 15, 2009 of the exclusivity and due diligence period to allow for continued discussions regarding the previously announced non-binding proposal to acquire all of the outstanding restricted voting shares of the Company at a price of US$3.55 per share as well as other possible strategic transactions.
The extension allows Lonza to continue to conduct its related confirmatory due diligence and is in accordance with the terms of the existing confidentiality and standstill agreement between Lonza and Patheon announced on August 21, 2009. Other terms remain unchanged, including that Patheon will not negotiate an acquisition transaction with any other party but can respond to an unsolicited acquisition proposal, subject to certain restrictions.
The Lonza proposal does not commit either party to complete any transaction. The transactions contemplated by the Lonza proposal remain subject to Lonza being satisfied with the completion of its confirmatory due diligence, the parties entering into definitive documentation, and the approval of each party's Board of Directors. There can be no assurance that any such transaction will be completed or as to the terms of any such transaction.