Cosette Files Appeal After Court Favors Mayne Pharma in $MYX Deal
Mayne Pharma has received notice of Cosette Pharmaceuticals' intention to appeal a court ruling in their acquisition dispute, potentially delaying the proposed takeover. The legal saga continues as key approvals and hearings loom.
- Supreme Court ruled in favour of Mayne Pharma, dismissing Cosette's claims
- Cosette files notice of intention to appeal without specifying grounds
- Scheme of arrangement remains subject to FIRB approval and second court hearing
- Second court hearing scheduled for 18 November 2025
- Mayne Pharma considers expediting appeal process and may revise timetable
Background of the Dispute
Mayne Pharma Group Limited, a specialty pharmaceutical company listed on the ASX, is currently embroiled in a legal dispute with Cosette Pharmaceuticals, Inc. over a proposed acquisition via a scheme of arrangement. The conflict centers on Cosette’s purported termination of the Scheme Implementation Deed, which Mayne Pharma has contested in the Supreme Court of New South Wales.
On 15 October 2025, the court ruled decisively in favour of Mayne Pharma, dismissing Cosette’s claims and seemingly clearing the path for the acquisition to proceed. However, this ruling has not ended the dispute.
New Developments, Notice of Appeal
On 10 November 2025, Mayne Pharma announced that Cosette and its BidCo have filed a notice of intention to appeal the court’s decision. Notably, the notice lacks any details regarding the grounds for appeal, leaving the market and stakeholders in a state of uncertainty about the legal arguments Cosette plans to advance.
This move introduces a new layer of complexity and potential delay to the acquisition process, which remains contingent on several conditions, including approval from the Foreign Investment Review Board (FIRB) and a second court hearing scheduled for 18 November 2025.
Implications for the Acquisition Timeline
Mayne Pharma has indicated it is exploring ways to expedite the appeal process to minimise disruption. The company also warned that the indicative timetable, including the current end date of 20 November 2025 for the scheme, may be subject to change depending on how the appeal unfolds.
Investors and market watchers will be closely monitoring these developments, as any delay or adverse ruling on appeal could impact the valuation and strategic direction of Mayne Pharma.
Looking Ahead
While Mayne Pharma remains committed to implementing the scheme, the uncertainty introduced by the appeal notice underscores the unpredictable nature of acquisition battles involving complex legal and regulatory hurdles. The upcoming court hearing and FIRB approval will be critical milestones in determining whether the deal can proceed as planned.
Bottom Line?
The appeal clouds the acquisition’s path, making the next court hearing a pivotal moment for Mayne Pharma’s future.
Questions in the middle?
- What specific grounds will Cosette cite in its appeal?
- Could the appeal significantly delay or derail the acquisition timeline?
- How might FIRB’s approval process be influenced by ongoing legal uncertainty?