The formal publication of the company's bid initiates the tender process, which is expected to take a minimum of 30 days following publication, Barr officials reported.
Barr's publi bid was published in the Official Gazette on 17 Augusts. The same bid was published in all Croatian major daily press on Monday, 14 August.
Under terms of Barr's tender offer Plica shareholders who tender their shares will receive 743 kuna per share in cash. In addition, shareholders that are registered as shareholders at the Central Depository Agency as of 22 August 2006 will receive the dividend of 12 kuna per share, for a total cash consideration of 755 kuna per share.
Barr's ability to close its tender offer is only conditioned upon the company receiving acceptances that result in Barr holding more than 50% of Pliva shares, the US company said.
"With the tender process now under way, Barr is committed to the successful acquisition of Pliva," said Bruce L. Downey, Barr's Chairman and Chief Executive Officer. "We intend to comply with all of the requirements, procedures and regulations of this process, and to work within the restrictions and formalities as outlined by HANFA and Croatian law. We have access to the necessary capital to successfully complete this transaction and we encourage all PLIVA investors to become completely acquainted with the terms of our offer, as formally published," he said.
In the event that a competing bid is published in the Official Gazette, Barr will be permitted to extend its tender offer period until the conclusion of the tender offer period of the competing bid. Once the competing tender offer period reaches 30 days in duration, any such extensions will be in seven-day increments and conditioned on either party in the competitive process continuing to increase its offer for the purchase of 100% of the shares of Pliva over the tender offer made by the other party. Under Croatian law, the maximum duration of the competitive bid process will be 60 days from the date that a competing bid has been published in the Official Gazette.