1. FTC plans to challenge GTCR's acquisition of Surmodics, raising regulatory concerns. 2. This challenge could impact Surmodics' strategic direction and financial stability.
The FTC's challenge introduces uncertainty about the merger, which can lead to a decrease in SRDX's stock price, as evidenced by historical cases where regulatory hurdles negatively impacted share values of other companies targeted for acquisitions.
The article directly discusses a significant event (FTC challenge) impacting the proposed acquisition of SRDX, thus having a substantial likelihood of affecting its stock price.
The immediate response to merger challenges often affects stock performance, with historical precedents showing significant fluctuations during acquisition scrutiny periods.