June 11, 2010 / 2:55 PM / 9 years ago

UPDATE 1-Danone to buy Medical Nutrition USA for $62 mln

* Danone North America Inc offers $4/shr

* Danone offer at 44 pct premium

* Medical Nutrition says majority owners gave consent

* Medical Nutrition to be surviving entity

* Medical Nutrition shares raise 44 pct

June 11 (Reuters) - French food group Danone (DANO.PA) said it would buy Medical Nutrition USA Inc MDNU.O in an all-cash deal worth $62.3 million.

Danone North America Inc’s offer of $4 per share is at a premium of 44 percent to Medical Nutrition’s Thursday close.

Under the deal, expected to close in the third quarter, a unit of Danone will merge into Medical Nutrition, with the latter being the surviving corporation, the companies said in a statement.

Medical Nutrition said a majority of its shareholders have consented to the merger. Both companies develop and sell nutritional-medicine products.

Medical Nutrition shares, which have doubled over the last 52 weeks, were trading up 43 percent at $3.97 Friday on Nasdaq. They touched a two-year-high of $4 earlier in the session. (Reporting by Vidya L Nathan in Bangalore; Editing by Don Sebastian)

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