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Swiss major Novartis says exploring Aventis bid
Zurich, Mar 13: Swiss healthcare group Novartis said on Friday it is `exploring the feasibility` of a combination with French drugmaker Aventis, which is fighting off a hostile bid from Sanofi-Synthelabo.
Zurich, Mar 13: Swiss healthcare group Novartis said on Friday it is "exploring the feasibility" of a combination with French drugmaker Aventis, which is fighting off a hostile bid from Sanofi-Synthelabo.
In a surprise statement, Novartis added it had yet to decide whether to pursue a possible "white knight" rescue offer for Aventis. The Swiss group said it made the statement in response to a request by French market authority AMF.
Novartis has been examining since last month whether it would make sense to come to Aventis's rescue, and speculation about a white knight offer had intensified in recent days.
Aventis shares had initially gained on Thursday -- and Novartis's fell -- amid talk that Novartis was readying a bid at around 67 euros per share. Rival Sanofi's stock-and-cash bid, which Aventis has rejected, is currently worth around 58 euros. Novartis shares were indicated 1.8 per cent lower in pre-market trade on Friday.
"People are worried that there might be a bid (from Novartis for Aventis) at the weekend," one trader said.
People familiar with Novartis's thinking told Reuters last month that the world's fifth-biggest drugmaker was keeping its options open but was wary about entering an all-French takeover battle.
Officials at Aventis had no initial comment on the Novartis statement.
But analysts said Friday's statement signalled that Novartis's interest in Aventis was more than just cursory.
Swiss major Novartis says exploring Aventis bid Reuters Zurich, March 12 Swiss healthcare group Novartis said on Friday it is "exploring the feasibility" of a combination with French drugmaker Aventis, which is fighting off a hostile bid from Sanofi-Synthelabo.
In a surprise statement, Novartis added it had yet to decide whether to pursue a possible "white knight" rescue offer for Aventis. The Swiss group said it made the statement in response to a request by French market authority AMF.
Novartis has been examining since last month whether it would make sense to come to Aventis's rescue, and speculation about a white knight offer had intensified in recent days.
Aventis shares had initially gained on Thursday -- and Novartis's fell -- amid talk that Novartis was readying a bid at around 67 euros per share. Rival Sanofi's stock-and-cash bid, which Aventis has rejected, is currently worth around 58 euros.
Novartis shares were indicated 1.8 per cent lower in pre-market trade on Friday.
"People are worried that there might be a bid (from Novartis for Aventis) at the weekend," one trader said.
People familiar with Novartis's thinking told Reuters last month that the world's fifth-biggest drugmaker was keeping its options open but was wary about entering an all-French takeover battle.
Officials at Aventis had no initial comment on the Novartis statement.
But analysts said Friday's statement signalled that Novartis's interest in Aventis was more than just cursory.
"Novartis is checking out the possibility of a combination with Aventis. In other words: Yes, we want to buy the company," the equity sales team at Aargauische Kantonalbank told clients in a note. Bureau Report
Novartis has been examining since last month whether it would make sense to come to Aventis's rescue, and speculation about a white knight offer had intensified in recent days.
Aventis shares had initially gained on Thursday -- and Novartis's fell -- amid talk that Novartis was readying a bid at around 67 euros per share. Rival Sanofi's stock-and-cash bid, which Aventis has rejected, is currently worth around 58 euros. Novartis shares were indicated 1.8 per cent lower in pre-market trade on Friday.
"People are worried that there might be a bid (from Novartis for Aventis) at the weekend," one trader said.
People familiar with Novartis's thinking told Reuters last month that the world's fifth-biggest drugmaker was keeping its options open but was wary about entering an all-French takeover battle.
Officials at Aventis had no initial comment on the Novartis statement.
But analysts said Friday's statement signalled that Novartis's interest in Aventis was more than just cursory.
Swiss major Novartis says exploring Aventis bid Reuters Zurich, March 12 Swiss healthcare group Novartis said on Friday it is "exploring the feasibility" of a combination with French drugmaker Aventis, which is fighting off a hostile bid from Sanofi-Synthelabo.
In a surprise statement, Novartis added it had yet to decide whether to pursue a possible "white knight" rescue offer for Aventis. The Swiss group said it made the statement in response to a request by French market authority AMF.
Novartis has been examining since last month whether it would make sense to come to Aventis's rescue, and speculation about a white knight offer had intensified in recent days.
Aventis shares had initially gained on Thursday -- and Novartis's fell -- amid talk that Novartis was readying a bid at around 67 euros per share. Rival Sanofi's stock-and-cash bid, which Aventis has rejected, is currently worth around 58 euros.
Novartis shares were indicated 1.8 per cent lower in pre-market trade on Friday.
"People are worried that there might be a bid (from Novartis for Aventis) at the weekend," one trader said.
People familiar with Novartis's thinking told Reuters last month that the world's fifth-biggest drugmaker was keeping its options open but was wary about entering an all-French takeover battle.
Officials at Aventis had no initial comment on the Novartis statement.
But analysts said Friday's statement signalled that Novartis's interest in Aventis was more than just cursory.
"Novartis is checking out the possibility of a combination with Aventis. In other words: Yes, we want to buy the company," the equity sales team at Aargauische Kantonalbank told clients in a note. Bureau Report