Market Currents

• Thursday, March 26, 2009

• 07:19 AM Roche (RHHBY.PK) secures over 96% of Genentech's (DNA) shares, effectively completing its $46.8B buyout. Roche plans to make Genentech a wholly owned subsidiary as soon as possible and delist the company from the NYSE. Comment!

• Thursday, March 12, 2009

• 07:20 AM Roche (RHHBY.PK) reaches a deal to acquire the 44% of Genentech (DNA) it doesn't already own for $46.8B, or $95/share. Comment!

• Monday, March 9, 2009

• 14:10 PM Genentech (DNA) is nearing a deal to sell itself to Roche (RHHBY.PK) for $95/share ($46.7B). (WSJ) Comment!
• 10:36 AM Analysts say Roche (RHHBY.PK) is finally likely to seal a deal with Genentech (DNA) after increasing its offer late last week. (previously I, II) Comment!

• Friday, March 6, 2009

• 14:31 PM Genentech (DNA) is urging its shareholders to hold off on Roche (RHHBY.PK)'s latest offer while its board frames a response. [PR] Comment!
• 12:10 PM Roche (RHHBY.PK) has raised its offer for Genentech (DNA) to $93 a share, from its previous hostile offer of $86.50. [PR] Comment!

• Tuesday, February 24, 2009

• 07:48 AM Genentech (DNA) urges shareholders to reject Roche's (RHHBY.PK) $86.50/share hostile offer. Genentech's banker had previously called $112/share acceptable; analysts expect the companies to eventually meet in the $95-$100 range. Comment!

• Friday, February 20, 2009

• 10:57 AM Does Roche's (RHBBY.PK) record-breaking bond offering mean a higher bid for Genentech (DNA)? Comment!

• Thursday, February 19, 2009

• 11:35 AM Genentech (DNA) dips after FDA cites three confirmed cases linking its psoriasis treatment Raptiva to rare brain condition progressive multifocal leukoencephalopathy, or PML. DNA +0.15% to $84.83. Comment!
• 09:56 AM Capitalizing on a window in the U.S. corporate-bond market, Roche (RHHBY.PK) sells a record $16B in bonds to help finance its hostile takeover of Genentech (DNA) - a deal whose fate remains unknown. "Banks aren't in a position to lend so you have to go to the markets first," credit strategist Matt King says. "This will be a big theme this year." Comment!

• Tuesday, February 10, 2009

• 08:30 AM According to documents Roche Holding (RHHBY.PK) filed with the SEC, Genentech (DNA) originally wanted a Roche bid of $112/share - $23 more than Roche's July offer, $25.50 more than Roche's current tender offer to shareholders. Comment!

• Wednesday, February 4, 2009

• 07:42 AM Roche (RHBBY.PK) said full-year net profit fell to 8.97B francs ($7.83B), missing analyst estimates. Sales slid 1% to 45.62B francs. Roche says it's confident it can finance its $42.1B hostile takeover bid for Genentech (DNA), but was sparse on the details of how. Shares -8.1% in Zurich. (Bloomberg) Comment!

• Tuesday, February 3, 2009

• 09:31 AM OSI Pharmaceuticals (OSIP) halts a drug trial for lung cancer early because the treatment significantly extended the time patients lived without their disease worsening. The drug, Tarceva, is marketed in the U.S. with Genentech (DNA). OSIP +13.4%. DNA +0.7%. Comment!

• Friday, January 30, 2009

• 09:57 AM Roche (RHHBY.PK) turns to Genentech (DNA) shareholders with an $86.50/share offer, down from the $89 it offered in July, conditional on it winning more than half the shares, and securing sufficient funding - no small feat considering it needs more than $30B. Comment!
• 05:10 AM Roche Holding (RHHBY.PK) lowers its bid price for the 44.2% of Genentech (DNA) it doesn't already own to $86.50/share from $89, and will take the offer directly to shareholders. The new bid is a 2.9% premium on DNA's recent closing price. Comment!

• Thursday, January 15, 2009

• 16:12 PM Genentech (DNA) drug numbers: Avastin $731M vs. $749M consensus. Rituxan $677M vs. $681M. Herceptin $336M vs. $364M. Lucentis $236M vs. $228M. Tarceva $118M vs. $121M. Raptiva $25M vs. $28M. (PR) Comment!