Biogen Idec begins $14.50-per-share tender offer for Facet Biotech

By Lisa Kerner

Charlotte, N.C., Sept. 21 - Biogen Idec Inc., through wholly owned subsidiary FBC Acquisition Corp., began a $14.50-per-share cash tender offer to acquire the outstanding shares of Facet Biotech Corp., it was announced on Monday.

The tender offer will end at midnight ET on Oct. 19.

Facet advised its shareholders not to take any action in response to the offer until the company's board reviews the offer with its advisers, which include Centerview Partners LLC.

As previously reported, Facet rejected Biogen's Sept. 4 offer to acquire the company for $14.50 per share each in cash because it does not believe the offer attributed any value to the drug daclizumab, which Facet and Biogen are jointly developing for the treatment of multiple sclerosis.

In addition, Facet adopted a stockholder rights plan with a one-year term in response to Biogen's offer.

Biogen said the per-share offer price is a premium of approximately 64% over the $8.82 closing price of Facet's common stock on Sept. 3.

"We believe this proposed transaction makes compelling business sense for both Facet Biotech and Biogen Idec and is in the best interests of our respective stockholders," Biogen president and chief executive officer James C. Mullen said in a news release.

"In addition, we believe the transaction would enable the important multiple sclerosis and solid tumor clinical programs that the companies have been working on in collaboration for nearly four years to have the best chance of reaching the market and improving patients' lives," Mullen said.

In August, Facet, a Redwood City, Calif., biotechnology company, rejected Biogen's $15.00-per-share offer.

Biogen is a Cambridge, Mass.-based pharmaceutical company.

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