CEO Termeer: Genzyme worth even more – $89 per share
Genzyme Corp. CEO Henri Termeer said the company’s profits will more than double next year, and that proves the company has been significantly undervalued by the acquisition offer of $69 per share from French drug maker Sanofi-aventis.
On an investor call Friday, Genzyme officials dug in their heels on the rejection of the Sanofi offer, instead arguing that the company is now worth up to $89 per share. They said this is fair, given the current guidance, the strategic value of the company’s leadership position in rare genetic diseases and the market position of its drugs as first in class or best in class. Officials also said their $385 million cost-cutting plan announced in May, which will include 1,000 layoffs, increases the value of the company.