The Associated Press reports that
Facet Biotech Corp. has turned down a $356 million buyout offer from drug
development partner Biogen Idec Inc., saying it doesn''t properly value the
company and its developing products. Biogen, based in Cambridge, Mass., offered
to pay $14.50 per share for Redwood City, Calif.-based Facet. The companies
have been working together since 2005 to develop the cancer drug candidate
volociximab and the multiple sclerosis drug daclizumab. Biogen was sharply
critical of Facet when it made the offer, saying it stated its interest in
August and offered to buy the company for $15 per share on Aug. 21. A week
after that, Facet announced a collaboration with Trubion on a leukemia drug.
"In our collaboration with Biogen Idec, one of the leaders in the field of
multiple sclerosis, we knew there would be a high clinical hurdle for Biogen
Idec to take the drug (daclizumab) forward into a phase 3 clinical trial,"
said Facet president and CEO Faheem Hasnain in a statement. "It does not
appear to be a coincidence that Biogen Idec made its acquisition proposal
within weeks of our joint decision to begin a phase 3 trial following a planned
interim futility analysis, and at a time when the significance of this positive
development has not been fully appreciated by the investment community."
Facet has also developed a "stockholder rights plan", which is meant
to guard against a takeover of the company.