A notice by Sanofi, the French drug development partner of Regeneron Pharmaceuticals Inc. in Tarrytown, that it plans to buy Regeneron stock at a volume that will give it more than a $500 million voting stake sparked speculation this morning that Sanofi plans a takeover of New York”™s largest biotechnology employer.
The Paris-based company, however, issued an assurance that it plans to abide by its partnership deal with Regeneron.
Regeneron officials reported today that Sanofi, as required by federal antitrust law, notified Regeneron that it plans to acquire the company”™s common stock through open market purchases and direct purchases from shareholders. Sanofi and Regeneron have a collaboration agreement to develop and market Regeneron’s Zaltrap, an intravenous drug given to patients with metastatic colorectal cancer.
A Sanofi spokesman reportedly said today the company was “very happy” with its relationship with Regeneron and plans to acquire stock within the terms of its partnership agreement. That agreement limits Sanofi’s stock purchases to no more than 30 percent of Regeneron’s outstanding shares of common and Class A stock.
With the announcement, the price of Regeneron stock shortly before noon was up $6.86 per share, or about 4.1 percent, from the close of NASDAQ trading Friday, after selling at a high of $182.59 per share earlier this morning.
