Elan says it has received several unsolicited corporate enquires in the wake of high-profile advances from US intellectual property firm Royalty Pharma.

US intellectual property firm Royalty Pharma has further increased its bid for Irish biotechnology company Elan to $13 (€9.80) per share.

Elan has warned its shareholders that they could stand to receive little or no financial reward if US firm, Royalty Pharma succeeds in its attempt to buy the company.

Royalty Pharma has raised its offer to buy Elan after the Irish drug maker announced several acquisitions to boost revenue and resist the bid.

Elan Corp considered buying New York investment firm Royalty Pharma last year, about six months before Royalty Pharma turned around with an acquisition proposal for Elan that’s now valued at about $5.7bn (€4.33bn).

Elan has around $2 billion (€1.54bn) to spend on investments as it looks to rebuild its asset portfolio following the sale of its headline asset and revenue generator Tysabri.

Elan has rejected Royalty Pharma’s near €7bn takeover approach, saying the offer substantially undervalues the company and doesn’t account for the Irish firm’s future prospects.

Royalty Pharma’s sweetened bid for Irish drugmaker Elan heaps pressure on Elan’s management to open its books to the US investment firm in the hope of a better offer, analysts and shareholders said yesterday.

Elan shareholders have unanimously voted in favour of the company’s share buyback plan, which will see nearly a third of the proceeds of its sale of multiple sclerosis drug Tysabri returned to investors.

Royalty Pharma, the US investment management firm interested in buying Irish biotechnology company Elan, has been set a deadline of May 10 by the Irish Takeover Panel to either table a firm offer for the company or walk away from the process for at least 12 months.

Elan has sweetened the terms on offer to shareholders under its $3.25bn (€2.5bn) disposal plan, as it aims to stave off an approach for the company from US investment firm Royalty Pharma.

Elan has said it will consider any credible takeover proposal made to the company, but noted “the heavily conditional nature” and “highly opportunistic timing” of Royalty Pharma’s announcement that it has made an indicative proposal to buy the biotech firm for $6.6bn (€4.97bn).