Merck and Schering-Plough to Merge

Drugmaker Merck announced today that it will acquire rival drugmaker Schering-Plough Corp. in a deal worth over $41 billion.

The combined company will use the Merck name, and Merck’s CEO Richard Clark will preside over the new merged entity.

Schering-Plough shareholders will receive 0.576 shares of Merck plus $10.50 in cash for each Schering-Plough share. Merck’s  stock holders will automatically have their shares converted into shares of the new company.