British medical diagnostics firm Axis-Shield rejects Alere’s $375.4-million bid

British medical diagnostics firm Axis-Shield today said that it has rejected £230-million ($375.4 million) bid from Alere Inc, as the US-based company's takeover offer "fundamentally undervalued" the company and its future prospects.

''The board, together with its financial and legal advisers, believes that the offer fundamentally undervalues the Company and its future prospects.  The Board has full confidence in the company's strategy and management to continue to deliver significant shareholder value,'' said the Dundee, Scotland-based Axis-Shield.

Axis-Shield is an Anglo-Norwegian medical diagnostics firm that develops and manufactures in vitro diagnostic tests for use in clinical laboratories for conditions including diabetes, rheumatoid arthritis and vitamin deficiency.

The company comprises a point-of-care division in Oslo, a laboratory division in Dundee and local distribution subsidiaries in the UK, in Norway, Sweden, Denmark and Finland, Switzerland and Germany.

Most of these companies also sell third-party products and non-IVD medical devices.

Waltham, Massachusetts-based Alere has made a 460-pence per share cash offer, a month after the board of Axis-Shield rebuffed its indicative approach pitched at the same price.