Shire's offer to combine Baxalta and Shire into one global company is rejected by the Baxalta board of directors

Recognizing an opportunity to generate significant shareholder value and accelerate the growth plans of both Shire and Baxalta by creating the global leader in rare diseases, Shire approached Baxalta following completion of Baxalta’s spinoff to initiate a discussion on the potential value of a business combination. On 10 July 2015 Shire made a proposal to Baxalta to combine the companies in an all-stock transaction implying a value of $45.23 per Baxalta share and an enterprise value of $33.9B, and representing a significant premium of 36% over Baxalta’s stock price as of 3 August 2015. Baxalta has declined to engage in substantive discussion on the potential value of combining the businesses. Shire has decided that the most appropriate course of action isto directly approach Baxalta’s shareholders.