General Comments / Chat, page-10160

I am not a corporate lawyer either, but it would be very hard for a board to argue a bid significantly above the recent trading range of a company is not in the shareholders interest. If the bid were to fail the board would leave themselves open to legal action from aggrieved shareholders. If the market says a company is worth $x then you need to have some very compelling reason to turn down a $2x offer.

A hostile bid from large pharma is unlikely as they just don’t tend to do this with pre-revenue companies, but a hostile bid from an investor or fund is possible.