Brookfield abandons takeover bid for Grifols over valuation dispute
- Brookfield Asset Management has withdrawn its proposal to take over Grifols due to valuation disagreements.
- Grifols' founding family claims the company's value is significantly higher than Brookfield's offered €6.45 billion.
- The withdrawal led to a 12% drop in Grifols shares, reflecting investor concerns about the company's future.
In Spain, Canadian investment firm Brookfield Asset Management has officially withdrawn its plans to acquire the local pharmaceutical company Grifols, which specializes in human plasma-based drug development. This decision, announced on November 27, 2024, comes after a disagreement between the two parties regarding Grifols’ valuation. Brookfield had previously submitted a non-binding offer valued at approximately €6.45 billion ($6.79 billion) on November 19. However, a spokesperson for Grifols' founding family asserted that the company holds a significantly higher value than what Brookfield proposed. As a result of the news, Grifols' stock experienced a sharp decline, dropping 12% shortly after the announcement. The IBEX 35 index also reflected this bearish sentiment, decreasing by 0.8%. This latest development marks a significant shift in Grifols' potential control as Brookfield had indicated its interest in a joint takeover with the family, contingent upon the completion of due diligence processes. The Grifols family remains committed to its current operational strategy despite the halted takeover negotiations.