SHIRE APPROVES EARLIER MEETING ON MERGER

Shire Plc on Wednesday waived a three- day notice requirement so AbbVie Inc.’ s board can meet sooner about its recommendation of the companies’ $ 55 billion merger.

Drugmaker Shire said it agreed “to allow the period of uncertainty for its shareholders, employees and other stakeholders to be reduced.”

AbbVie announced late Tuesday its board wants to reconsider the merger after the U. S. Treasury Department announced new regulations aimed at discouraging corporate inversions.

The regulations aim to limit a practice known as an inversion in which a U. S. company reincorporates overseas or combines with a foreign company. These deals can help lower a company’s U. S. tax bill. Numerous U. S. companies, many focused on health care, have announced inversions in recent months.

AbbVie’s board will meet to consider either withdrawing or modifying its recommendation that shareholders approve the acquisition.

Shire said Wednesday that its board believes AbbVie should follow through with its plan to acquire Shire and reincorporate on the British island of Jersey, where Shire is incorporated.

Shire said Wednesday that it could receive a fee of about $ 1.64 billion from AbbVie if the U. S. drugmaker’s board changes its recommendation and shareholders do not approve the deal.