By Lisa Kerner
Charlotte, N.C., May 29 - Genzyme Corp. agreed to acquire Bioenvision, Inc. for $5.60 per share, or about $345 million, in a cash transaction expected to close in July. The per-share price is roughly a 50% premium over the last 20 trading day average.
The acquisition will give Genzyme exclusive, worldwide rights to clofarabine, which was co-developed by Bioenvision and Genzyme for the treatment of acute lymphoblastic leukemia.
Both companies' boards have approved the deal. Bioenvision executive officers, directors and shareholders holding approximately 20% of the company's shares have entered into agreements in support of the transaction, according to a news release.
"Building an international commercial presence for our oncology business has been a focus for the corporation and we are very pleased to reach agreement with Bioenvision on this transaction," Genzyme chairman and chief executive officer Henri A. Termeer said in the release.
"We believe this transaction brings significant value to Bioenvision shareholders. Genzyme has the global clinical, regulatory and commercial infrastructure to advance clofarabine, as well as very significant experience with the product from its U.S. approval, launch, and continued development and commercialization," Bioenvision chairman and chief executive officer Christopher B. Wood added.
Bioenvision is a New York biopharmaceutical company, and Genzyme is a Cambridge, Mass.-based biotechnology company.
| Acquirer: | Genzyme Corp.
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| Target: | Bioenvision, Inc.
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| Transaction value: | $345 million
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| Price per share: | $5.60
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| Announcement date: | May 29
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| Expected closing: | July 2007
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| Stock price for target: | Nasdaq: BIVN: $5.25 on May 25
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