Are you surprised? After the usual posturing and harsh language, the two drugmakers have agreed to a confidentiality agreement, according to a filing with the US Securities and Exchange Commission. This, of course, means a deal could be made, although nothing is guaranteed.

You may recall that, two weeks ago, Alpharma rejected a sweetened bid of $37 a share from King, which was quickly labeled as “inadequate.” King had originally offered $33 and reacted by transforming its bid into a hostile offer.

Sniffing at the offer, Alpharma insisted several other unnamed suitors had expressed interest, including one offer that exceeded the second bid from King. For its part, King maintained its bid was the only outstanding offer for Alpharma, and that it was not conditioned on financing (back story).