S.Africa’s Adcock slides to 7-month low after Bidvest torpedoes deal

Shares in Adcock Ingram fell to their weakest level in seven months on Tuesday, extending their decline into a third day after it became clear a $1.2 billion bid for the drugmaker by Chile's CFR Pharmaceuticals is set to fail. Adcock shareholder Bidvest Group, which opposed CFR's takeover, last week raised its stake to 34.5 percent, enough to unilaterally vote down CFR's offer of 74.50 rand a share. Adcock, South Africa's second-largest drugmaker, is to hold urgent talks with CFR following Bidvest's buying spree and the Santiago-based company is widely expected to drop its stock and cash takeover offer. Investors were betting Bidvest is unlikely to extend its 70 rand per share offer to remaining shareholders.