Sanofil bids more than $60 billion for Aventis
January 26, 2004
According to the Associated Press, French drug maker Sanofi-Synthelabo SA unveiled a hostile $60 billion-plus bid Monday for larger rival Aventis SA in a deal that would create the world''s third biggest drug concern. Aventis urged its shareholders to reject the bid, saying it undervalued the company. Sanofi said it is offering five of its shares and 69 euros ($87.60) in cash for every six Aventis shares -- valuing its rival at 47.8 billion euros ($60.7 billion). French media reports said that Aventis has already sought bankers'' advice on how to fend off the bid. Sanofi said the deal would create the third biggest pharmaceutical firm in the world behind U.S. giant Pfizer Inc. and Britain''s GlaxoSmithKline PLC and the largest in European sales alone. It would also have the third largest research and development budget in the industry, with nearly 60 projects in late-stage development. Sanofi''s brands include anti-stroke drug Plavix and the sleeping pill Ambien while Aventis'' drugs include allergy pill Allegra abd the blood-clotting drug Lovenox.