PARIS Feb 3 French drugmaker Sanofi-Aventis
(SASY.PA) could announce a deal to buy U.S. biotech Genzyme
GENZ.O early next week if final negotiations between the
companies go smoothly, Le Figaro reported on Thursday.
Sanofi will offer a minimum of $72 or $73 a share in cash,
as well as a contingent value right (CVR) based on the
performance of experimental multiple sclerosis drug Lemtrada
worth between $2 and $5 a share, the newspaper said.
Genzyme has rejected Sanofi's initial $18.5 billion offer,
worth $69 a share, which the French group has extended until
Sanofi this week gained access to detailed financial
information about Genzyme as the two agreed in principle on the
terms of a takeover, raising expectations that a final deal can
be hammered out in the near term. [ID:nN01105284]
Sanofi has agreed to raise its bid to the low $70s-per-share
range, plus the CVR milestone payment, a source familiar with
the situation said earlier this week, but it did not raise the
offer as high as the $75 per share value Genzyme had sought.
The final valuation could be in the "very high $70s"
including the CVR, a second source said. [ID:nN01105284]
Sanofi is due to publish its results for 2010 on Wednesday,
when it is seen posting a 3.2 percent drop in underlying
earnings per share for the fourth quarter, excluding items such
as amortisation and litigation costs, according to the average
of 13 estimates in a Reuters poll of analysts. [ID:nLDE7111BY]
(Reporting by James Regan; Editing by Will Waterman)