Following a year of takeover talks, Sanofi Aventis announced Monday it has completed a $16.6 billion acquisition of Cambridge, Mass., biotech firm Genzyme for $74 per share.
Sanofi-Aventis completes $16.6 billion Genzyme buy
Genzyme last year balked at the Paris-based drugmaker's acquisition offer, saying the initial offer of $69 a share undervalued the firm. Sanofi eventually sweetened the deal by agreeing to make additional cash payments, contingent on the success of several drugs. Genzyme, known for developing drugs for rare diseases, will become Sanofi's “global center for excellence in rare diseases,” according to a news release from Sanofi.
According to the news release, about 85% of Genzyme's shares, or 224 million, had been tendered for sale and not withdrawn for $74 each.
Following the announcement of the acquisition, Sanofi reopened its offer to buy the remaining Genzyme shares for the same price, with this second offering period expiring April 7. Those sales could add another $3 billion to Sanofi's stock purchase price.
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