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What: Shares of Pharmaceutical Product Development
So what: The all-cash deal values PPD at $33.25 per share, representing about a 30% premium to Friday's closing price. The acquisition comes just a few months after INC Research's $232 million purchase of rival Kendle International, suggesting that the big money sees plenty of opportunity within the health-care outsourcing space.
Now what: When you make 25% in one morning, taking at least some dough off the table seems like the prudent thing to do. While PPD may now solicit competing proposals for a 30-day "go-shop" period, holding out for a dramatically better offer seems a bit risky. After all, with quality names in the sector like PAREXEL
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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of PPD. Try any of our Foolish newsletter services free for 30 days.
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