GlaxoSmithKline Bids $2.6 Billion for Human Genome Sciences

'We believe there is clear strategic and financial logic to this combination for both companies and our respective shareholders,' says GSK Chief Executive Andrew Witty.

British drugmaker GlaxoSmithKline (IW 1000/88) on Thursday said it has bid $2.6 billion for U.S. research partner Human Genome Sciences Inc.

GlaxoSmithKline said it made an offer April 11 at $13 per share in cash, a 81% premium to Wednesday's closing share price.

GSK chief executive Andrew Witty said that "having worked together with Human Genome Sciences for nearly 20 years, we believe there is clear strategic and financial logic to this combination for both companies and our respective shareholders -- and that now is the appropriate time in the evolution of our relationship for our two companies to combine.

"This offer reflects full and fair value for Human Genome Sciences and the synergies inherent in this combination.

"It also eliminates substantial execution risk for Human Genome Sciences shareholders and delivers immediate and certain value that is superior to what we believe Human Genome Sciences can reasonably expect to create as a stand-alone company."

Copyright Agence France-Presse, 2012

See Also:

Hide comments

Comments

  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
Publish