The hot Sanofi-Aventis ($SNY) news this morning was that Genzyme ($GENZ) agreed to open its books to the French drugmaker. The two companies had inked a confidentiality agreement, Bloomberg reported, a big step forward in their progress toward a potential merger.
Although Sanofi's tender offer at $69 per share has been open for months, the companies have only recently been negotiating a higher price. "The discussions are continuing," Sanofi said in a regulatory filing. An analyst predicted a deal within the next few months at $74 per share, plus $5 to $10 in additional payments according to the performance of Genzyme's potential multiple sclerosis treatment Lemtrada.
But by press time, the deal reportedly had moved to a faster track. Word was that Genzyme and Sanofi actually agreed to a deal structure. Sources told Reuters that the agreement will indeed include the contingent value rights tied to Lemtrada performance. One predicted a deal within the next two weeks.
- check out the story from Reuters
- see the Bloomberg news