March 12, 2009
Roche completes deal with Genentech
Swiss pharmaceutical company Roche Holding said Thursday it reached agreement to complete a purchase of Genentech, which began last year.
Roche said it had agreed to purchase all outstanding Genentech shares for $95 a share in a cash transaction. The total deal was announced as a $46.8 billion purchase.Roche said California's Genentech would operate as
an independent center.The company's
unique culturewould be maintained, the statement said.
The deal continues a consolidation trend in the industry. On Monday, Merck agreed to purchase Schering-Plough for $41 billion. In January, Pfizer, the world's largest pharmaceutical firm, agreed to buy Wyeth for $68 billion.
Genentech had set up a committee to review Roche's advancements. Committee Chairman Charles Sanders said the announced deal,
is a fair offer for Genentech shareholders.
Franz Humer, chairman of the Roche Group said he was
delighted that the intensive negotiations have led to a successful conclusion.
Roche said the acquisition would create the seventh largest U.S. pharmaceutical company in terms of market share with $17 billion in annual U.S. revenues. The company will employ 17,500 people in the United States, including a sales force of approximately 3,000, the statement said.