ImClone Systems (IMCL) is set to sell itself for $6.1B or about $70 per share to the mystery big pharma bidder that Chairman Carl Icahn introduced as a defense against Bristol-Myers (BMY) original offer of $60, which was recently upped to $62 per share for the remaining 83% stake it does not already own. I have written about the saga on my blog since the end of July when Bristol-Myers made the original offer, but the Wall Street Journal s reporting the most likely bidders are Pfizer (PFE) or Eli Lilly (LLY).
Both of these big pharmas are in need of a pipeline and have the cash to buy one, although I still think the mystery bidder is Pfizer as I wrote three weeks ago . ImClone is expected to announce a deadline for the deal some time later today and the deal may be finalized within days. Such a deal would make more sense for Pfizer than the rumored purchase of much larger German chemical group and dug maker Bayer (BAYRY), which would require a split-up and sale of unrelated business segments. However, given the delay by the FDA on Effient for Lilly and pending generic competition for Zyprexa, such a deal for ImClone would also make sense.
$44.71 (09/29/08)
