Genzyme snares cancer therapy in $345M buyout

Excited by the potential of the leukemia treatment clofarabine, Genzyme has agreed to buy New York-based Bioenvision for $345 million. That's a 50 percent premium over Bioenvision's 20-day trading average. The two companies co-developed clofarabin in Europe and Genzyme says that it has good reason to believe that the drug has great potential for other cancer indications. In particular, researchers believe that clofarabin, sold as Clofar in the U.S., can become a first-line therapy against adult acute myeloid leukemia.

"Strategically, financially and operationally, this acquisition makes great sense for our business," said Mark Enyedy, senior vice president and general manager of Genzyme Oncology, in a press release. "We have developed a comprehensive understanding of clofarabine and its clinical potential, and are fully engaged in expanding its use into adult populations, most notably and nearest-term in AML. Full ownership will accelerate the development and commercialization of this important therapy."

- see this release on the buyout
- read the report from TheStreet.com

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