{"id":2015392,"date":"2023-08-29T12:23:02","date_gmt":"2023-08-29T16:23:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/catalent-to-explore-options-after-elliott-deal-sources\/"},"modified":"2023-08-29T12:27:40","modified_gmt":"2023-08-29T16:27:40","slug":"catalent-to-explore-options-after-elliott-deal-sources","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/catalent-to-explore-options-after-elliott-deal-sources\/","title":{"rendered":"Catalent to consider alternatives following Elliott agreement &#8211; sources."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fcatalent-to-explore-options-after-elliott-deal-sources%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2015392&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div class=\"entry-content\">\n<p>  (This \u2062August 28 story has been refiled to \u2062correct the \u2062spelling of Elliott \u2064in the headline)<\/p>\n<p>By Svea\u200c Herbst-Bayliss and Maggie Fick<\/p>\n<div id=\"div-gpt-ad-1663871513696-art-1\" style=\"min-width: 320px; min-height: 50px;  text-align: center;\">  \t<script>  \t\tgoogletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-1'); });  \t<\/script>  <\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<\/p>\n<p><strong>Catalent Inc<\/strong> is close to reaching a settlement with activist investor\u200c <strong>Elliott Investment Management<\/strong> which \u200bwill include new directors and\u2062 a pledge \u2063to review\u2063 strategic alternatives \u2062such as a\u2064 sale of the company, sources familiar with \u200dthe matter said\u200c on Monday.<\/p>\n<p>The company, which has \u2063been the target of \u200ctakeover interest from\u200b both <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/elizabeth-warren-calls-on-sec-to-investigate-potential-market-manipulation-cautions-against-internet-trading-schemes-a-flash-mob-with-money\/\" title=\"Elizabeth Warren Calls On SEC To Investigate Potential \u2018Market Manipulation,\u2019 Cautions Against \u2018Internet Trading Schemes,\u2019 \u2018A Flash Mob With Money\u2019\">private equity firms<\/a> and strategic buyers for months, is poised to agree to add four new \u2062directors proposed by Elliott to its board, which currently has 12 members, \u2064the sources said.<\/p>\n<p>The\u200c sources declined to be identified because the information\u2063 is confidential and cautioned a deal could still\u200c collapse\u200d at the last minute.<\/p>\n<p>Spokespeople\u2062 for Catalent and \u2063Elliott declined to comment.<\/p>\n<p>Catalent\u2019s\u200d stock price jumped \u20648% in \u200dafter-hours trading before giving up some of \u200dthe gains after closing at\u2064 $45.65 on Monday.<\/p>\n<p>The U.S.-based contract drugmaker is also Danish company Novo Nordisk\u2019s \u2064main manufacturing partner for its\u2063 popular weight-loss drug Wegovy. The volatility at Catalent could increase scrutiny\u200b on the relationship between Novo and \u2064its partner. <\/p>\n<p>Catalent\u2019s deal with\u2062 Elliott also makes the hedge\u2063 fund an indirect \u200bplayer in the story of Wegovy, the first-to-market\u2062 in a \u200dnew class of highly effective weight-loss drugs. Some analysts have\u200d predicted a $100 billion market by 2030. <\/p>\n<p>Reuters reported last week that a second Catalent factory will begin filling \u200cWegovy injection pens for \u200cNovo as part of an expanded supply agreement. \u2063Novo is\u2062 spending billions of dollars to make \u200dmore of the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/catalent-to-explore-options-after-elliott-deal-sources\/\" title=\"Catalent to consider alternatives following Elliott agreement - sources.\">obesity drug amid sky-rocketing\u200c demand<\/a>, particularly in the United States.<\/p>\n<p>When asked on Friday \u2064by Reuters about \u2063Catalent\u2019s issues,\u2064 Novo\u2019s CEO said he was \u2062confident the company would resolve its problems.<\/p>\n<p>Novo \u200cshares were down 0.65% at 1109 GMT\u2063 but remained\u2064 on track for a gain of 17% in\u2063 August, their <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/poll-nearly-80-percent-of-voters-say-biden-responsible-for-inflation-spike\/\" title=\"Poll: Nearly 80 Percent of Voters Say Biden Responsible for Inflation Spike\">largest monthly increase<\/a> since February 2014. <\/p>\n<p>Novo \u2064declined to \u200bcomment\u2064 on the news.<\/p>\n<p>Novo shareholder Markus \u2064Manns, a portfolio\u2064 manager at Union Investment in \u200dGermany, told Reuters on \u2064Tuesday \u2063that as long as\u2063 Catalent \u2064is able to keep \u200dmaking Wegovy for Novo, he was unconcerned by the developments with \u200bElliott. <\/p>\n<p>The settlement deal \u200dwould allow Elliott, one of the industry\u2019s busiest activist investors, to help sway Catalent\u2019s strategy\u200c at a\u2063 time \u2064its stocks price has lost\u200b roughly\u200b half\u2063 of \u2062its value in the last year.<\/p>\n<p>Earlier this \u2063year, Danaher, which on Monday agreed to\u200c acquire Abcam, was \u200creported as a possible \u2063suitor.<\/p>\n<p>CRITICAL ROLE<\/p>\n<p>Catalent, which\u200c is valued at roughly $8 billion and \u200dplayed a critical role \u200cduring the pandemic to \u200bfill vials with the COVID-19\u2064 vaccine \u200cfor several companies including AstraZeneca, Johnson &#038; \u200bJohnson and\u200b Moderna, has grappled with a variety of problems recently.<\/p>\n<p>Its\u200b chief financial officer left \u2064in \u2064April, when\u200c the company warned \u201cproductivity\u2063 issues\u201d and higher-than-expected \u200bcosts at \u2062three of\u2064 its manufacturing sites would\u2062 hit\u2062 fiscal 2023 results.<\/p>\n<p>Catalent also warned in June when\u200d it released thrice-delayed quarterly\u2063 earnings that\u200d the corrective actions it was undertaking to address quality control lapses identified by U.S. drug regulators at its Brussels factory required\u2062 more time to \u200dfix. <\/p>\n<p>The Brussels\u200b plant began filling\u2064 Wegovy injection pens in 2021 \u200cbut problems \u200bthere caused \u2063a supply shortage in the U.S. throughout 2022.<\/p>\n<p>    The \u200dcompany\u200b is \u2062scheduled to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/bezos-owned-washington-post-says-its-bad-for-free-speech-for-billionaires-like-elon-musk-to-own-part-of-twitter\/\" title=\"Bezos-Owned Washington Post Says It\u2019s Bad for Free Speech for Billionaires Like Elon Musk to Own Part of Twitter\">report quarterly earnings<\/a> before the U.S. market \u2064opens on Tuesday.<\/p>\n<p>In the past when \u2063Elliott has pushed \u200cfor sales \u2063of pieces\u2062 or the entire target company,\u200c including at eBay and Switch Inc., \u200cand then won board representation, significant ownership changes \u200dhave followed. Sell \u2062side analysts, including Deutsche Bank, note that Danaher, which is valued \u2063at $193 \u200bbillion, has untapped\u2062 M&#038;A capacity even after buying Abcam. <\/p>\n<p>Elliott isn\u2019t the only \u2062activist investor\u2064 that\u2063 had\u2064 bought\u2064 into Catalent this year, with regulatory filings showing that Keith Meister\u2019s \u200cCorvex Management\u2064 and\u200b Scott Ferguson\u2019s Sachem Head\u2062 Capital \u2063Management owned shares in the company at the \u200bend of\u200b the second quarter.<\/p>\n<p>Despite Catalent\u2019s operational\u200d and regulatory problems, several\u2062 investors said there is value in the company given its role in meeting big \u2063pharma \u200dcompanies\u2019 demand for outsourced manufacturing.<\/p>\n<p>Elliott this year\u2064 pushed for\u2064 changes at cloud computing company Salesforce where \u2062a proxy fight was averted when the company announced better returns \u2063and \u2062a\u200d host of measures to cut\u2062 costs. It is also pushing to oust NRG CEO Mauricio Gutierrez.<\/p>\n<\/p>\n<p>  (Reporting by Svea Herbst-Bayliss in Boston and Maggie Fick in London; Additional reporting by Amanda Cooper\u200d in \u200bLondon; Editing\u200d by Shri \u2064Navaratnam, Bernadette Baum\u200b and Catherine Evans)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/uncategorized\/catalent-to-explore-options\/attachment\/view-of-the-drug-product-manufacturing-laboratory-in-biologics-and\/\"><\/a><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p><strong>Former senior Trump\u200b White \u200dHouse aide Peter Navarro<\/strong> testified Monday in a federal courtroom on charges of defying a Democrat-appointed House J6 Select Committee\u2063 subpoena.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p><strong>UNC Chapel Hill<\/strong> goes on lockdown \u2062and Judge Chutkan sets \u200cTrump\u2019s alleged Election Interference trial date \u2063just \u2063before Super Tuesday.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>National Legal and Policy Center legal\u2063 counsel\u2064 <strong>Paul Kamenar<\/strong> says former Trump Chief-of-Staff Mark Meadows has \u201ca good chance\u201d in \u200dsucceeding in his bid to move his trial on charges of\u2062 tampering with the 2020 \u2062election to federal \u200dcourt.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Lawyers for <strong>Bryan Kohberger<\/strong> asked an Idaho judge to\u200b ban \u2062cameras from the courtroom.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By \u200cHannah Lang (Reuters) \u2013 The U.S. Securities and\u200d Exchange \u200bCommission should have approved an\u2064 application from Grayscale Investments \u200dto create \u2064a\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>SHENZHEN, China (Reuters) -Chinese\u2062 smartphone maker \u200bXiaomi Corp \u2062reported a \u20634% revenue\u200c drop in\u2063 the second\u200c quarter, tracking a shrinkage in China\u2019s\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Katie Paul NEW \u2062YORK (Reuters) \u2013 Facebook parent company Meta said on Tuesday \u2062it had uncovered links between people associated with\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Noel Randewich (Reuters) \u2013 Increased analysts\u2019\u200c estimates \u2063since Nvidia\u2019s strong quarterly report last week have\u200c left\u200d the world\u2019s most valuable chipmaker\u2026 <\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Catalent Inc nears settlement with Elliott Investment Management, agreeing to add new directors and explore strategic options, including a potential sale.<\/p>\n","protected":false},"author":66,"featured_media":2015393,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[],"class_list":["post-2015392","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2015392","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2015392"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2015392\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2015393"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2015392"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2015392"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2015392"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}