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Sanofi to buy Genzyme for about $19 billion: sources

Post n°16 pubblicato il 16 Febbraio 2011 da trdkfmnubaq
 
Tag: cevoce

BOSTON/PHILADELPHIA (Reuters) – Sanofi-Aventis SA (SASY.PA) has reached an agreement in principle to buy Genzyme Corp (GENZ.O) for about $19 billion in cash plus future payments based on the performance of an experimental Genzyme drug, according to two sources with knowledge of the talks.

Under the agreement, Genzyme investors will receive $74 per share in cash plus a contingent value right, or CVR, whose value will depend on Genzyme's experimental multiple sclerosis drug Lemtrada, the sources said on Tuesday.

The value of the CVR could not immediately be established.

The deal is expected to be announced by Wednesday morning, the sources said. The two companies' boards are expected to vote on the agreement shortly.

The deal is the second-biggest in biotech history and gives France's Sanofi, which has pursued Genzyme for nearly nine months, a foothold in the market to treat rare diseases. It will help Sanofi compensate for declining revenue from drugs that have lost, or are set to lose, patent protection.

Officials at Sanofi were not immediately available for comment.

Bo Piela, a spokesman for Cambridge, Massachusetts-based Genzyme, said he "cannot confirm" that an agreement has been reached.

Genzyme shares rose 3.5 percent in afternoon trading to $74.21 on Nasdaq. Sanofi's U.S. shares (SNY.N) rose 1.6 percent.

Genzyme shareholders last year rejected an initial offer from Sanofi of $69 per share. A Reuters poll last August indicated that a majority of shareholders would be willing to sell their shares for a price between $75 and $79.

Sources previously told Reuters the CVR would likely be valued at $5 to $6 a share. That could subsequently have changed.

Some investors do not expect the CVR to trade at more than $2 a share. Short-term investors and index funds, which do not normally like owning this kind of instrument, will move quickly to sell.

Genzyme was the first company to show that money could be made by making drugs for diseases with small patient populations. In 2009 it generated revenue of $4.5 billion, enough to replace roughly a third of the sales Sanofi is expected to lose through 2013 to generic competition.

ENDING STANDOFF

The deal in principle was struck after a lengthy stand-off between two determined chief executives: Genzyme's Henri Termeer, a Dutchman who has led the company for more than 25 years, and German-Canadian Chris Viehbacher, who took over as chief executive of Sanofi at the end of 2008 after a 20-year career at GlaxoSmithKline Plc (GSK.L).

Termeer was reluctant to sell the company that had come to define him. But a manufacturing crisis had caused a shortage of two of Genzyme's life-saving drugs, leading to outrage among patients and investors alike.

By May, 2010, the company's shares had fallen roughly 46 percent from a high of nearly $84 in July 2008.

Word of Sanofi's interest began circulating in the press in late July, and on August 2, Sanofi made a formal offer of $69 a share. Genzyme rejected it, arguing that Sanofi was taking advantage of the company's troubles and an artificially depressed share price.

Sanofi refused to increase its offer, and no other bidders emerged. Sanofi took its offer directly to shareholders, who rejected it.

Most of the disagreement between the two companies centered on their respective expectations for Lemtrada, Genzyme's experimental multiple sclerosis drug. Genzyme believes it could generate peak annual sales of $3.5 billion. Sanofi envisages a range closer to $700 million.

Genzyme's biggest-selling drugs include Cerezyme, a treatment for Gaucher disease and Fabrazyme, a treatment for Fabry disease. Both are rare genetic disorders that can cause organ damage and death, and both carry an average annual cost of about $200,000.

The company's newest drug, Myozyme, known in the United States as Lumizyme, treats a rare muscle disorder known as Pompe disease and costs an average of $300,000.

Genzyme's success has also provided the blueprint for a new generation of biotechnology companies who are developing drugs for so-called "orphan diseases," or those with fewer than 200,000 patients in the United States.

The field has attracted investors, and, increasingly, big pharmaceutical companies like Pfizer Inc (PFE.N) and Glaxo.

Genzyme is due to report results for its fourth quarter before the market opens on Wednesday. Analysts are expecting earnings to have nearly tripled to 86 cents per share from 31 cents in the same quarter the previous year, according to Thomson Reuters I/B/E/S.

(Editing by Maureen Bavdek, John Wallace, Dave Zimmerman)

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Defending champ Verdasco advances at ATP San Jose

Post n°15 pubblicato il 10 Febbraio 2011 da trdkfmnubaq
 

SAN JOSE, California (AFP) – Top seed and defending champion Fernando Verdasco of Spain breezed into the second round of $600,000 SAP Open ATP hardcourt tournament.

Verdasco rolled over US wild card Rajeev Ram 6-3, 6-2 in 61 minutes to book a second-round match Thursday against Croatian Ivo Karlovic, who smashed 19 aces in defeating American Ryan Sweeting 6-4, 6-4.

Frenchman Gael Monfils, the second seed, was set to face US wild card Bradley Klahn in a later match with the winner to meet American Robert Kendrick in the second round. Kendrick ousted Russia's Igor Kunitsyn 7-5, 3-6, 6-4.

Lithuania's Richard Berankis won the final five games to outlast American Donald Young 6-4, 5-7, 7-5 and become the event's first quarter-finalist.

Young, a 21-year-old US southpaw ranked 146th in the world, led 5-2 in the third set and served for the match in the ninth game but surrendered the last of his six double faults and was eventually broken.

Berankis, a 20-year-old who is down one spot from his career-best ranking of 73rd set last week, broke again for a 6-5 edge and held to finish off Young after two hours and 23 minutes.

Berankis will next face Canada's Milos Raonic, who ousted US veteran James Blake 6-2, 7-6 (7/4).

Last year at San Jose, Berankis came through qualifying to become the first Lithuanian to reach an ATP quarter-final before falling to Verdasco.

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Egyptian Nobel laureate Zewail: Mubarak must leave

Post n°14 pubblicato il 06 Febbraio 2011 da trdkfmnubaq
 
Tag: leggi

CAIRO – Egyptian-American scholar and Nobel laureate Ahmed Zewail added his weight Sunday to calls for President Hosni Mubarak to step down to help end the standoff with anti-government protesters.

Zewail, who has been living in the United States, returned to Egypt Sunday and met with government officials and young protesters to help mediate a resolution as protests continued for a 13th day.

"I call on President Hosni Mubarak, leader of the largest country in the Middle East, to give up power to another leader and make history in the Middle East," he said at a news conference.

Zewail, winner of the 1999 Nobel Prize in chemistry, met with Vice President Omar Suleiman, who is leading talks with the opposition for the government. Zewail also met with religious leaders and with Arab League chief Amr Moussa, who has put his name forward as a possible presidential candidate.

"We are at a crossroads in Egypt and we need a clear vision," said Zewail, who has called for political and educational reforms in Egypt in the past.

He said he was optimistic after meeting with young protesters for seven hours to understand their demands.

Zewail said he believed a solution would involve amending the constitution, setting a timeline for free elections, canceling emergency laws, freeing political prisoners and respecting press freedom.

On Sunday, Sulieman met with major opposition groups for the first time and offered new concessions including freedom of the press, the release of those detained since anti-government protests began nearly two weeks ago and the eventual lifting of the hated emergency laws.

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Celtics overcome slow start, beat Kings 95-90

Post n°13 pubblicato il 06 Febbraio 2011 da trdkfmnubaq
 
Tag: pasqua

SACRAMENTO, Calif. – Ray Allen scored 22 points, Rajon Rondo had 17 points and 10 assists and the Boston Celtics overcame a slow start to beat the Sacramento Kings 95-90 on Tuesday night.

Paul Pierce added 15 points and Kevin Garnett had 12 to help the Celtics (37-11) pull away in the fourth quarter and clinch the Eastern Conference's best record through games of Feb. 6. That means Boston's Doc Rivers will coach the East in the All-Star game in Los Angeles on Feb. 20.

DeMarcus Cousins and Tyreke Evans finished with 20 points apiece for a Kings team that returned to its losing form. They were coming off wins against two of the Western Conference's elite — the Los Angeles Lakers and New Orleans Hornets — but missed out on their first three-game winning streak this season.

The Kings knocked Boston around for most of the first half until the Celtics finally pushed back.

Maybe even a little too hard.

A physical game spilled over after Garnett dived for a loose ball near the Kings bench late in the second quarter. Cousins stood over the Celtics big man — still wearing a bandage on his head from a gash that opened in the previous game against the Lakers — with the ball already out of bounds. Rondo came to his teammate's aid, exchanged words with Cousins and pushed the Kings forward in the chest.

Things never escalated past that, although Rondo was called for a technical foul that could draw more attention in the NBA league office. The Kings led 54-45 at the end of a first half in which they dominated the Celtics in almost every phase.

The Eastern Conference champions were just too much to handle.

The Celtics withstood all the blows and clamped down defensively in the fourth quarter. Glen Davis' fastbreak dunk highlighted the run that put Boston ahead 87-77 with 6 minutes remaining, and the Kings never seriously challenged after that.

If only that was the end of Boston's otherwise successful West Coast trip.

The Celtics were planning to stay in Sacramento for an extra night — barring a last-minute change — because of a winter storm cutting a frigid path through much of the nation. They play again until Friday at home against the Dallas Mavericks.

NOTES: Rivers met with friend and Cinncinnati Reds manager Dusty Baker, who lives in northern California, before the game outside Boston's locker room. Baker's son was wearing a green Reds baseball cap. ... Kings reserve F Darnell Jackson took a few minutes to leave the court after the first half. He did not return. The team said Jackson had shortness of breath and kept him out for precautionary reasons. ... Kings F Jason Thompson sat out the game with a sprained right ankle.

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Breakthrough after U.S. warns China on North Korea

Post n°12 pubblicato il 22 Gennaio 2011 da trdkfmnubaq
 

SEOUL/WASHINGTON (Reuters) – The United States warned China it would redeploy forces in Asia if Beijing failed to rein in North Korea, an Obama administration official said on Friday, as Pyongyang bowed to Seoul's demands for crisis talks.

President Barack Obama's warning had persuaded China -- the North's main diplomatic and economic backer -- to take a harder line toward Pyongyang, and opened the door to a resumption of inter-Korean talks, possibly next month, the official said, confirming a report in The New York Times.

North Korea accepted the South's conditions for talks on Thursday, marking a major breakthrough in the crisis on the peninsula. Such dialogue could clear the way for the resumption of the six-party aid-for-disarmament talks.

Obama warned his Chinese counterpart, President Hu Jintao, that if Beijing did not step up pressure on North Korea, Washington would redeploy its forces in Asia to protect itself from a potential North Korean strike on U.S. soil.

The Obama administration official declined to give more specific details about any possible redeployments. China was angered by last year's large-scale U.S.-South Korean military drills in the Yellow Sea, seen as a major projection of U.S. power off its coasts.

The drills included participation of a nuclear-powered U.S. aircraft carrier and were meant to be a show of force that would deter the North from any future provocations.

Obama first made the warning in a telephone call to Hu last month, and repeated it over a private dinner at the White House on Tuesday, the U.S. administration official said.

White House spokesman Robert Gibbs first hinted at the stepped-up pressure at a news briefing on Thursday, when he told reporters that Obama's meeting with Hu on Wednesday had helped shift entrenched attitudes on the Korean peninsula.

U.S. Defense Secretary Robert Gates said last week that Pyongyang was becoming a direct threat to the United States and could develop intercontinental ballistic missiles within five years.

Wang Dong of Peking University's School of International Studies said Washington's reported warning to Beijing was a slap in the face for the Chinese leader, who has urged the two Koreas to resolve their differences through dialogue.

"Playing tough like this, it might just backfire, I'm afraid," Wang said. "If this article represents the real thinking by American leaders, the danger of war on the peninsula can never be dismissed."

"China has its own strategy in trying to influence North Korea. It wants to find the least costly path to solve this crisis."

The proposed talks would be the first contact between the two Koreas since a deadly artillery attack on the South in November sharply raised tensions on the divided peninsula.

Pyongyang bowed to Seoul's demands that talks specifically address that attack and the sinking of a South Korean warship last March, but made no mention of talks on denuclearization -- the central component of six-party meetings.

Washington and Tokyo have cautiously welcomed the Korean talks, but there has been no comment from Beijing.

Analysts cautioned against reading too much into the talks, saying they marked progress but that Seoul's demands for an apology for the attacks could prove difficult for Pyongyang to accept.

"There must be a paradigm shift from both North and South Korea for the sake of stability in the region," said Ahn Yinhay of Korea University. "Given the favorable relationship between China and the United States, now is the right time."

NUCLEAR DIPLOMACY

Washington and Beijing have argued that North-South dialogue is a prerequisite to a resumption of six-party talks involving the two Koreas, the United States, China, Japan and Russia. Pyongyang walked out of the six-party talks, under which it previously agreed to abandon its nuclear programs, and pronounced them dead in 2009.

Obama and Hu have jointly expressed concern about North Korea's expanding nuclear program and the South's Unification Ministry said it was formulating a proposal for separate nuclear talks with the North.

"I think there will be opportunities to discuss the specific measures aimed toward denuclearization," the South's envoy for six-party talks, Wi Sung-lac, told YTN radio.

"We need to confirm that North Korea is sincere about denuclearization, and talks are needed for this reason. Through such talks we will need to see whether the six-party talks could be productive."

The prospect of resuming the six-party talks will set off a new wave of diplomacy, starting with next' week's visit to the region by U.S. Deputy Secretary of State James Steinberg.

The group negotiations have been beset by problems since their start in 2003, but experts say they are the best multilateral forum to engage Pyongyang and control tensions.

The South's Defense Ministry said it would propose a date for the preliminary talks sometime next week, adding they would likely take place in mid-February.

The North's KCNA state news agency on Friday published the letter sent to the South's Defense Ministry. "We are in a firm position to resolve all military issues including those the South wants to propose," it said.

(Additional reporting by Miyoung Kim and Jumin Park in Seoul, Sui-Lee Wee in Beijing, and Patricia Zengerle and Phil Stewart in Washington; Editing by Peter Cooney)

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