Mylan rejects drug company Teva's $40.1 billion buyout offer

NEW YORK: Mylan N.V. rejected Teva Pharmaceuticals' $40.1 billion buyout offer, saying the cash-and-stock proposal undervalues the company. 

Mylan said that it won't think about starting talks unless Teva offers more than $100 per share, far above its current offer of $82 per share. After the rejection Teva said it is committed to completing the deal and that a sale to Teva is Mylan's best option. 

The rejection comes as both Mylan and Teva look to further consolidate an increasingly competitive generic drug industry. Teva, the world's largest generic drug company, wants to strengthen its position by buying Mylan. Mylan is trying to buy Perrigo Co. of Ireland for about $30 billion in cash and stock, combining its own generic drug business with Perrigo's position in over-the-counter medications and other nonprescription products. Perrigo has rejected Mylan's offer, but the Dutch company says it stands by the bid.