Human Genome Sciences has prescribed a poison pill for GlaxoSmithKline's hostile takeover bid. And after making a detailed case for a much better buyout deal, the biotech says it's already engaged in talks with other pharma and biotech companies interested in bidding on the company.
In a lengthy statement, HGS ($HGSI) asserts that it "has entered into confidentiality agreements with certain parties and is providing those parties an opportunity to engage in a due diligence review of confidential information." And the company goes on to complain that GSK ($GSK), its long-time development partner with an intimate understanding of the company's potential, simply waited until its share price hit a 52-week low before pouncing.
The biotech's remarks include a detailed case for its pipeline, which includes the potential blockbuster darapladib, a heart drug. Albiglutide, an experimental treatment for diabetes, is tied to $150 million in potential milestones alone. But the argument made little headway with at least one key analyst.
"This is all the usual and expected posturing," Cowen's Eric Schmidt noted to Bloomberg. "I believe GSK remains committed to buying HGSI and do not expect others to have much interest."