Pharmaceutical Company Sanofi-Aventis Agreed to buy Genzyme

The French pharmaceutical group Sanofi-Aventis on 16 February 2011 announced its decision to buy Genzyme for $20.1bn (£12.5bn) in one of the biggest global M&A deals since the financial crisis.

The agreement closed Sanofi's six-month public pursuit of the American biotechnology company, Genzyme which specialises in rare diseases. Sanofi offered to pay $74-a-share in cash for Genzyme as compared to its initial offer of $69. The deal which is the second-biggest in biotech history will help Sanofi compensate for declining revenue from drugs that have lost, or are set to lose, patent protection. The acquisition will provide Sanofi-Aventis with a platform for sustainable growth strategy and will also help Sanofi-Aventis group to expand the group’s presence in biotech drugs and rare diseases.

The $4.5 billion Genzyme is the world's biggest maker of drugs to treat rare genetic disorders and will offer Sanofi avenues into new drug markets.