After Reuters reported late Friday that Perrigo is exploring a sale of its Tysabri royalties, RBC Capital analyst Randall Stanicky estimates that the company would be worth about $117 per share if it is "broken up and sold." The analyst warns, however, that it's "far from clear":if the company is interested in selling all of its assets. Stanicky says that the stock's risk/reward ratio has improved, but he adds that he does not expect the stock to rise significantly based on the company's fundamentals. The analyst keeps a $92 price target and Sector Perform rating on the stock.

Perrigo announced that pharmaceutical company Esteve Healthcare has signed a binding offer to acquire Perrigo's HRA Pharma Rare Diseases business for a total consideration of up to EUR 275M, consisting of an upfront cash payment of EUR 190M and up to EUR 85M in potential earnout payments based on the Rare Diseases business achieving certain sales milestones. Following the information and consultation process with HRA Pharma Works Council in France, Perrigo would be able to exercise the put option granted by Esteve and enter into a definitive agreement with Esteve for the sale of the Rare Diseases business. The proposed final transaction is expected to close during the third quarter of 2024, subject to the satisfaction of the HRA Works Council consultation and customary closing conditions, including receipt of regulatory approvals.