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February 10, 2009

Roche: Genentech sought much higher offer

Filed under: money — Tags: , , — ManInBlack @ 4:26 pm

Roche Holding AG said in a regulatory filing Monday that Genentech Inc. sought a price of $112 a share to buy out the remainder of the company.

That was $23 a share above the $89-a-share price Roche offered in July and above the price it made in the hostile takeover bid it launched late last month.

Instead of the $44 billion that the Swiss company offered, Genetech asked for about $52 billion for the 44.2 percent of South San Francisco-based Genentech (NYSE:DNA) that it doesn’t already own payday loan lenders.

I the filing Monday, Roche said Genentech refused "to engage in a meaningful discussion on value" and was over estimating the projections it was making on its cancer drug Avastin.

Roche said it intends to exercise its option to hold a majority of the seats on Genentech’s board.

Genentech closed Monday at $82.70 in Monday, down 30 cents.

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