Sanofi Genzyme Merger

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(1) Brief Chronology 5/23/2010- Sanofi’s CEO Chris Viehbacher approaches Genzyme’s CEO Henri Termeer about an acquisition. Termeer expresses interest but wishes to discuss the possible deal after the company’s shareholder meeting in June. 6/28/2010- Viehbacher calls Termeer to set up a meeting and Termeer promises to respond soon. 7/2/2010- The media becomes alerted about Sanofi wishing to purchase a U.S. biotech company as rumors circulate about Genzyme. 7/29/2010- Sanofi sends a private letter to Genzyme’s board of directors offering $69/share in cash. 8/22/2010- Genzyme rejects Sanofi’s offer. 8/29/2010- Sanofi goes public with its offer of $69/share. 8/30/2010- Genzyme publicly rejects…show more content…
Since 2004, Sanofi had developed into a diversified global healthcare company using innovation to meet the needs of patients throughout the world, with recent acquisitions including, Zentiva, Medley, Kendricks, Acambis and Symbion Consumer, as well as Merial in animal health. Exhibit 4.1 accurately highlights the exact formation of the company. (3) Brief description of the companies at the time of the announcement of the transaction A. Sanofi Aventis Sanofi had a total of twenty-two research and development sites. By the time of the acquisition, Sanofi owned eight operational sites in France, five sites in other European countries (Germany, United Kingdom, Hungary, Spain, and Italy), six sites in the United States, one site in Japan, and two sites in China. Sanofi also owned 75 industrial sites worldwide as displayed by Exhibit 1.2. On a broader scale to see how the company was faring over the years, Exhibit 1.1 accurately depicts the growth in net sales over a period of five years. Net sales had increased 7.1% from 2006 until 2010 and cash dividends paid per share had also increased 42.9%. Exhibit 1.4 displays the major shareholders who owned stakes in the company in 2010 when Sanofi first expressed interest in acquiring Genzyme. Exhibit 1.6 shows Sanofi’s total exposure as of December 31, 2010 by rating and in terms of its percentage exposure to the dominant
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