OSI delays $935M Eyetech deal

OSI Pharmaceuticals will delay its planned acquisition of Eyetech in light of Genentech's favorable phase III results for Lucentis. "While not yet approved by the [FDA], Genentech's research data shows Lucentis could become a major rival to Eyetech's macular degeneration medication, Macugen," Newsday observes. The $935 million Eyetech/OSI deal has faced opposition since it was announced over the summer, causing OSI's stock to plummet. As one analyst noted, it might be good for OSI if the company could cancel the acquisition. Yesterday, Eyetech's stockholders voted to approve the merger.

- see this report from Newsday for more