Genzyme, Sanofi at Odds Over Start Price
CAMBRIDGE, Mass. (
) --
Sanofi-Aventis'
(SNY) - Get Report
talks to acquire
Genzyme
(GENZ)
are continuing but the companies disagree on a "threshold" price at which Sanofi could begin due diligence on Genzyme, a report says.
The threshold price has been a sticking point in recent talks and the main reason why the talks haven't progressed further, the
Wall Street Journal
reports, citing people familiar with the matter.
Genzyme could open its books to Sanofi if the French company was to offer around $75 a share as a starting point for talks on a possible sale, the
Journal
says. But Genzyme, the U.S. generics drugmaker, probably won't sell unless a bid hits at least $80 a share, people familiar with the matter said.
was $69 a share, or $18.4 billion. Some Genzyme shareholders have called the offer "lackluster."
Sanofi was considering whether to go "hostile" on its offer recently, but the two sides have decided to remain in friendly talks for now, the people said, the
Journal
reports.
Genzyme shares closed Monday at $67.75.
-- Reported by Joseph Woelfel in New York.
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