March 12, 2006
Schering Group
Schering
AG comments on takeover approach
http://www.schering.de/scripts/en/50_media/2006/adhoc/Q1/060312_kommentar.php?n=mep
Schering AG, Germany confirmed today that it has been informed by Merck KGaA representatives during the weekend that Merck KGaA intends to make an all-cash offer for the shares of Schering AG at EUR 77 per share.
After the
information about the approach became public, the Executive Board
of Schering AG stated that this offer significantly undervalues Schering and its
prospects as an independent specialized pharmaceutical company.
March 23, 2006 Bayer
Bayer plans to acquire Schering and offers stockholders EUR 86
per share
・Creating
a health care heavyweight of international standing with
attractive growth potential
・Schering
Board of Management welcomes Bayer offer
・Berlin
to be future headquarters of “Bayer-Schering Pharmaceuticals”
with anticipated
sales of more than EUR 9 billion
・Bayer
HealthCare raises target EBITDA margin from 23 to 25 percent /
Sound funding through a combination of equity and debt financing
and divestment of two Bayer MaterialScience subsidiaries
Bayer intends to make a public takeover offer to the stockholders
of Schering AG. In a transaction with a total value of EUR 16.3
billion, the company is willing to pay EUR 86 in cash for each Schering share
or ADS (American Depositary Share). The offer price is 39 percent
above the Schering share price before the announcement of the
hostile bid by Merck KGaA and 12 percent above this competing
offer. The Supervisory Board of Bayer AG has approved the
proposed transaction. The Board of Management of Schering AG
welcomes Bayer’s proposal and has stated its
intention to recommend acceptance by the company’s stockholders subject to
evaluation of the final offer document.
“The
proposed takeover of Schering is in line with our strategic
objective to further grow our health care business, especially in
the area of pharmaceutical specialty products, thus substantially
strengthening our Bayer HealthCare subgroup in its role as a
primary growth engine for the Bayer Group,”
explained Bayer
Management Board Chairman Werner Wenning. “We are convinced that merging the
two companies will create a health care heavyweight of
international standing with a strong market position based on an
innovative product portfolio and a well-stocked pipeline. We
believe this merger to be an appropriate, compelling and
value-creating step which will also benefit our stockholders,
employees, customers and patients. It is also the best way of
reasserting the importance of Germany as a pharmaceutical
industry base.”
Bayer’s target EBITDA margins shall be
achieved earlier than planned
With estimated annual sales of nearly EUR 15 billion (calculated
on 2005 sales), the acquisition would enable Bayer to greatly
expand the portfolio of its Bayer HealthCare subgroup and
significantly strengthen earning power. “We plan to increase the EBITDA
margin of our health care business from 19 percent at present to
25 percent by 2009,” announced Wenning. “This improvement in earning power
will have a tangible impact on the entire enterprise and we are
confident of being able to increase the long-term target return
for the Bayer Group as a whole.”
Significant synergy
potential of EUR 700 million annually
The merger of the Bayer and Schering pharmaceuticals businesses
would release significant potential for improving growth and cost
synergies. From the third year after completion of the
transaction, Bayer anticipates synergy effects of around EUR 700
million annually. On the other hand, the acquisition will result
in one-time restructuring costs totaling approximately EUR 1
billion. “We have proved in many other
transactions that we can successfully implement integration
processes. In this instance, as in past cases, we will place
great value on a fair and balanced process, especially in respect
of the employees,” emphasized Wenning.
“Bayer-Schering
Pharmaceuticals” to be headquartered in Berlin
Bayer and Schering are recognized globally for their innovation
and high-quality products. To continue to benefit from the high
name recognition and good reputation that both companies now
enjoy, it is planned to merge Berlin-based Schering and Bayer’s existing Pharmaceuticals
Division to create an independent division of Bayer HealthCare
named “Bayer-Schering Pharmaceuticals”
that will be
established as a stock corporation. The merged pharmaceuticals
business, with sales of more than EUR 9 billion, is to be based
at Schering’s present headquarters in Berlin.
The merger would create a global health care company that ranks
among the top 12 in the world.
Creation of a world-class specialty care company
The planned acquisition of Schering is consistent with Bayer
HealthCare’s stated strategy to strengthen
its pharmaceuticals business with a focus on specialty care. This
transaction will enable Bayer to increase these products’
share of sales from
the current level of 25 percent to around 70 percent, thus giving
the company a leadership position in this highly attractive
market and a balanced portfolio of established products and
growth businesses.
“This
merger would be a further significant step in implementing our
pharmaceuticals strategy. In the mid term, the new company is
expected to grow at least as fast as the market. Over the same
period, we anticipate an average double-digit growth rate for
underlying EBITDA,” emphasized Arthur Higgins,
Chairman of the Board of Management of Bayer HealthCare. He
continued: “The combined pharmaceuticals
business will be characterized by a very well-balanced portfolio
comprised of sound basic businesses and business units such as
oncology, cardiology/hematology and gynecology that generate
above-average growth.”
It is also expected
that “Bayer-Schering Pharmaceuticals”
will assume a
leading role in the biotechnology field. The combined biotech
platform is already an excellent foundation for further growth.
The products in this area include Schering’s top-selling BetaseronR for the
treatment of multiple sclerosis and LeukineR, used to boost a
patient’s immune system during cancer
therapy, together with Bayer’s genetically engineered Factor
VIII KogenateR, which we believe to have blockbuster potential.
Already today, these biotech products generate sales of
approximately EUR 2 billion.
“Our
merged pharmaceuticals business will hold leadership positions in
many areas, including gynecology, the treatment of multiple
sclerosis, hematology and contrast agents,”
explained Bayer CEO
Wenning.
Research platform for a sustained boost to innovation
A key role will also be played by the future research platform
yielded by combining the R&D activities of the two companies.
“A
much larger pharmaceuticals research and development budget will
put us in a better position to optimally foster and support the
most attractive projects,” continued Wenning.
The proposed “Bayer-Schering Pharmaceuticals”
division will
possess a very promising portfolio in important core indications.
In oncology, NexavarR will provide the company with sales
potential in excess of EUR 1 billion. This product recently
received approval in the United States for the treatment of
metastatic kidney cancer and the registration process is ongoing
in many other countries. NexavarR is also being tested for use in
other cancer indications, with Phase III clinical trials under
way for skin, liver and lung cancer. The oncology pipeline will
be supplemented by a number of Schering development candidates.
In the cardiology/hematology indication, the oral Factor Xa
inhibitor for the treatment of thrombosis is another product with
blockbuster potential that is well advanced along the development
pipeline. It is complemented by the recently inlicensed
antithrombosis drug alfimeprase, which is currently in Phase III
clinical testing. Another promising product in this therapeutic
area is a liposomal formulation of KogenateR that is under
development. In gynecology, just days ago Schering received
approval in the United States for its oral contraceptive YAZR,
further highlighting the blockbuster potential of the YasminR
product family and clearly underscoring the company’s claim to leadership in this
market segment.
Following the acquisition, “Bayer-Schering Pharmaceuticals”
would have four
projects in registration, 19 in Phase III clinical testing, 14
undergoing Phase II trials and a further 17 in Phase I
development.
“The
combined pipeline of the two companies holds the potential to
ensure sustained innovative strength in the mid to long term,”
said Bayer CEO
Wenning, pointing out another positive effect. “The combined size of the future
company would make us more attractive as a partner for
inlicensing activities in pharmaceuticals.”
Sound funding
through a combination of equity and debt financing and
divestments
The proposed acquisition is to be financed through liquidity of
around EUR 3 billion and a credit line provided by Credit Suisse
and Citigroup. At a later date, it is planned to refinance this
credit line through a combination of bank loans, debt capital and
hybrid capital instruments. The planned equity capital measures
will total up to EUR 4 billion, depending among other things on
the acceptance rate and the composition of the debt financing
package. As a further financing measure, Bayer also plans to sell
H.C. Starck and Wolff Walsrode, both subsidiaries of Bayer
MaterialScience.
H.C. Starck GmbH, headquartered in Goslar, Germany, is a global
company that supplies components and materials ? especially
refractory metals ? for various applications in, for example, the
electronics, optics, aviation and aerospace industries. The
company’s 3,200 employees generate annual
sales of EUR 920 million.
Wolff Walsrode AG, headquartered in Walsrode, Germany, is a world
leader in the field of cellulose chemistry. The company employs
1,200 people and posted sales of EUR 330 million in 2005.
Both companies are very profitable and have enormous potential
for development. However, their activities no longer fit the core
business of Bayer MaterialScience, which will in future focus on
expanding its technology and market leadership in polycarbonate
and isocyanate chemistries. The expertise of the two
subsidiaries, on the other hand, is based on different
technologies. “We are convinced that there are
very interesting perspectives for both companies outside the
Bayer Group and that they will be able to grow better in a new
environment,” explained Wenning, indicating
prospects of a rapid sale.
Bayer CFO Klaus Kuhn commented: “Our refinancing plans combine a
balanced mix of equity and debt capital, together with the
proceeds of planned divestments. This will maintain a stable
balance sheet structure in the future, too. Assuming completion
of the transaction, we anticipate retaining a good
investment-grade rating and adhere to the important goal of
maintaining an A rating.”
Positive effect on
Group earnings ? value creation for shareholders
On account of Schering’s high earning power, by 2008
Bayer anticipates an increase in earnings per share before
transaction amortization, despite one-time restructuring charges.
According to CFO Klaus Kuhn: “After realizing available
synergies, we aim by 2009 to generate cash flow exceeding our
capital costs, thus creating considerable value for our
shareholders.”
Offer documents to
be submitted mid-April
The Bayer Group plans to publish detailed offer documents by
mid-April 2006. As Wenning explained, the offer will be subject
to a minimum acceptance rate of 75 percent of Schering AG’s capital stock. Bayer’s CEO expects the transaction to
be completed in the second quarter of 2006, provided approval is
received with regard to antitrust. However, Bayer does not
anticipate any problems in this regard and expects approval in
May. In this transaction, Bayer is being advised by Credit Suisse
and Greenhill.
“The
proposed merger is economically attractive and makes very good
strategic sense, benefiting both companies, their employees and
our stockholders,” said Wenning. “We are convinced that this planned
acquisition will be a very important step toward a successful
future. It will give us leadership positions in the
pharmaceutical specialties business, allowing us to take a top
global role in all areas of the business. Moreover, with a share
of almost 50 percent in our overall portfolio, our health care
business will be by far the largest Bayer subgroup. With this
acquisition, we would expand the contribution of our life
sciences business to total sales by our subgroups from 60 percent
at present to around 70 percent, thus significantly reducing our
dependence on cyclical economic developments. At the same time,
we will achieve a further milestone in implementing our motto of
Bayer: Science For A Better Life.”
2006/3/24 Merck
Merck KGaA Will Not Increase Its Offer for Schering AG
Merck KGaA has announced today that it will not increase its
offer of EUR 77 per Schering share or ADS (American Depositary
Receipt) announced on March 13, 2006.
The Executive Board of Merck KGaA has reached the conclusion that
a higher price per Schering share is not justified in the view of
Merck and has therefore decided not to pursue the planned
takeover of Schering.
“We
are still convinced that a combination would have been a good
option for both companies,” said Michael Roemer, Chairman of
the Executive Board of Merck KGaA.
Merck will continue to follow its strategy of focussed
diversification based on the two strong pillars of
pharmaceuticals and chemicals and will continue to assess all
options to strengthen the Pharmaceuticals and Chemicals business
sectors.
April 13, 2006 Bayer
Bayer makes
official takeover offer for Schering
・Acceptance
period for the offer of EUR 86 per share ends on May 31, 2006
・Wenning:
Offer is a worthwhile one for Schering shareholders
The Bayer Group
officially published the offer document for the takeover of
Schering AG today. As already announced on March 23, 2006, the
company is offering EUR 86 for each Schering share. This
represents a total transaction value of approximately EUR 16.5 billion. The increase compared with the
previously communicated figure of EUR 16.3 billion is primarily
attributable to the fact that Schering AG has meanwhile issued
shares from its own shareholding for fulfillment of employee
options and will likely continue to do so during the validity
period of the offer. The offer can be accepted from now until the
close of May 31, 2006, and is approximately 61 percent above the
unweighted 12-month average price and some 39 percent above the
closing price for the Schering share before the first takeover
rumors surfaced. “It is thus worthwhile for Schering
shareholders to accept our offer,” said Bayer Management Board
Chairman Werner Wenning. The planned merger of Schering AG and
the Bayer pharmaceuticals division will create a new heavyweight
of international standing in pharmaceutical specialty products.
The Board of Management and the Supervisory Board of Schering AG
have favorably assessed the proposal and lent it their support.
According to the offer document, Schering AG shareholders can
submit a written letter of acceptance to the bank that
administers their securities account by the end of the acceptance
period at midnight CEST on May 31, 2006. The additional
acceptance period will likely run from June 9 to midnight CEST on
June 22, 2006 ? however only if the minimum acceptance threshold
of 75 percent is already reached by May 31, 2006. Schering
shareholders can therefore not rely on definitely being able to
accept the Bayer offer during the additional acceptance period.
More detailed information - in particular regarding acceptance by
holders of Schering ADS (American Depositary Shares) - is
available in the offer document.
The purchase price will be paid after the transaction is
complete, i.e. after expiration of the acceptance period and
fulfillment of all existing conditions. In addition to the
minimum acceptance rate of 75 percent, this also includes
approval by the EU Commission and the U.S. antitrust authorities.
Shareholders who decide against accepting the takeover offer will
retain their Schering shares. Until further notice, these will
remain tradable on the stock market even after the transaction.
The liquidity and tradability of the Schering share could be
impaired, however, depending on the acceptance rate. Significant
fluctuations in price are also possible.
Bayer's goal is to acquire 100 percent of Schering AG. Depending
on the takeover rate, the Group will consider delisting the
Schering share on the German stock exchanges. Schering's stock
market listing in Switzerland and registration in the United
States in accordance with the U.S. Securities Exchange Act of
1934 could be terminated as well, to the extent that this move
would be compliant with statutory regulations.
Bayer has approximately EUR 3 billion in liquidity available for
financing of the acquisition. In addition, the Group has arranged
for interim financing and a syndicated loan of EUR 7 billion each
with Credit Suisse and Citigroup. Various equity capital and
external capital measures as well as divestments are being
planned to repay the interim financing. Approximately EUR 2.3
billion have already been realized through the successful
placement of a mandatory convertible bond reaching maturity on
June 1, 2009. A corresponding amount of the interim financing
will not be used. The equity capital measures should total up to
EUR 4 billion. Proceeds from the planned sale of H.C. Starck and
Wolff Walsrode in the Bayer MaterialScience division have also
been earmarked for repayment of the interim financing.
“The
proposed takeover of Schering is in line with out strategic
objective to further grow our health care business, especially in
the area of pharmaceutical specialty products,”
commented Wenning.
The future subsidiary “Bayer-Schering Pharmaceuticals”
will have a
balanced and innovative product portfolio and a well-stocked
pipeline. The new company will rank among the world's top ten
providers of pharmaceutical specialty products. The merger would
offer a series of other advantages as well, noted Wenning: “Our decision to establish the
headquarters of Bayer-Schering Pharmaceuticals in Berlin will
strengthen the capital city's reputation as an innovative
location for industry. It is also the best way of reasserting the
importance of Germany as a pharmaceutical industry base.”
The company will
once again be living up to its motto “Bayer ? Science For A Better Life”
with the
acquisition of Schering.
Bayer amends takeover
offer
Acceptance period for Schering stockholders extended by two weeks
・Acceptance
period now ends on June 14, 2006
・Further
amendment to offer conditions not possible
・Minimum
acceptance threshold remains at 75%, offer price at EUR 86 per
share
Bayer has decided to amend the takeover offer for Schering AG and
waive the offer condition in section 6.1.6 of the offer document.
As a result of the amendment, the acceptance period is
automatically extended until June 14, 2006, 24:00 hours CEST. “The extension of the acceptance
period enables all Schering stockholders to accept our attractive
offer within the next two weeks,” commented Bayer AG Management
Board Chairman Werner Wenning.
June 2, 2006 Bayer
Largest stockholder accepts takeover offer
Allianz tenders its Schering shares to Bayer
・Overall
acceptance rate rises to 39.21 percent
・Acceptance
period ends on June 14, 2006 - no further extension possible
The Bayer Group has made further progress with its planned
acquisition of Schering AG. On Thursday Allianz AG, Munich,
tendered its shareholding, which amounts to about 11 percent of
Schering’s capital stock, bringing the
acceptance rate as of Friday, June 2, 2006, 15:00 hours CEST, to 39.21 percent. “We’re pleased that Schering’s largest stockholder has accepted
our attractive offer. This also serves as a signal to the other
stockholders,” commented Bayer Management Board
Chairman Werner Wenning. “We are convinced that the
acquisition of Schering will be successfully completed.”
Wenning emphasized
that in contrast to comparable transactions in the United States,
for example, no further change to the offer conditions is
possible under German law in the absence of a competing offer for
Schering by a third party, nor can Bayer initiate any further
extension of the acceptance period. Therefore the minimum
acceptance threshold of 75 percent must now be reached by June
14, 2006, 24:00 hours CEST, otherwise the offer will lapse.
Bayer published the takeover offer on April 13, 2006, offering
EUR 86 in cash per Schering share. The offer is thus
approximately 61 percent above the unweighted 12-month average
price and some 39 percent above the closing price of Schering
shares before the first takeover rumors surfaced. Unconditional
approvals have been received from the E.U. Commission and the
U.S. antitrust authorities.
June 9, 2006 Bayer
Merck’s actions in respect of Schering
incomprehensible
・Bayer
now purchasing Schering stock on the market
・Takeover
offer remains valid
The Bayer Group is
surprised at Merck’s actions in respect of Schering.
The company’s approach is incomprehensible for
three reasons:
1. Merck is now paying a price for Schering shares which, just a
few weeks ago, it described as unjustified for the takeover of
the company. This was the reason Merck gave at the time for
withdrawing its takeover offer.
2. Merck’s actions therefore have all the
semblance of a blocking tactic designed to hinder Bayer’s acquisition of Schering shares.
Such an approach is not known to have been taken by strategic
investors in the past.
3. Merck has not notified the market of its subsequent intentions
in any of its statements so far, therefore leaving investors and
the parties involved uncertain as to its strategy.
Bayer CEO Werner Wenning commented: “We still believe that merging the
pharmaceuticals activities of Schering and Bayer is a very
logical approach that should create sustained value. We are
therefore resolved to pursue the proposed takeover. In order to
strengthen our position, we began purchasing Schering shares on
the market on Friday. We hope that Merck’s intervention will not prejudice
Schering’s development.”
2006/6/8 Merck
Merck KGaA confirms shareholding of more than 5 percent in
Schering
Merck KGaA has confirmed today on request that the company
currently owns more than 5 percent of the shares
of Schering AG,
Berlin. On June 6, 2006, the company’s shareholding was 6.032 percent,
which represents 11,702,200 shares.
As the acceptance period for Bayer AG’s takeover offer to Schering AG’s shareholders will end soon,
Merck KGaA will not comment on the decision process regarding its
shareholding in Schering at this time.
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Merck is a global pharmaceutical and chemical company with sales
of EUR 5.9 billion in 2005, a history that began in 1668, and a
future shaped by 29,624 employees in 54 countries. Its success is
characterized by innovations from entrepreneurial employees.
Merck's operating activities come under the umbrella of Merck
KGaA, in which the Merck family holds a 73% interest and free
shareholders own the remaining 27%. The former U.S. subsidiary,
Merck & Co., has been completely independent of the Merck
Group since 1917.
2006/6/14 Merck
Merck KGaA to Sell Its Schering Shares to Bayer AG
Value of the transaction EUR 3.7 billion
Cooperations to be considered
Merck KGaA told Bayer AG today that it will sell its 21.4% (21.8%
according to SEC calculations) stake in Schering AG to Bayer AG.
This was agreed upon today during a discussion between Werner
Wenning, Bayer’s Chief Executive, and Dr. Michael
Roemer, chairman of the Merck KGaA Executive Board.
Merck will sale its total Schering stake ? 41,529, 770 shares ?
at a price of EUR 89 per share. The total value of the
transaction is EUR 3.7 billion. This will result in an
extraordinary gain of EUR about 400 million, which Merck will
book in the second quarter.
In addition, Merck and Bayer have agreed in discussions to
consider the possibility of expanding current cooperations and
developing further ones.
“We
are convinced that we have reached an agreement that is
advantageous for all the companies involved and that it will
strengthen their potential for the future,”
said Dr. Roemer.
Merck’s purchase of Schering shares
between May 30 and June 14 was intended to secure its long-term
strategic interest in Schering. Dr. Roemer commented: “Short-term profit gained through
speculation was never our goal and is certainly not a motive for
a company that thinks in generations. But, when an option to
secure ones position arises, a company has the responsibility to
make every possible effort right up to the very end.”
2006/6/14 Bayer
Merck offers Bayer its stake in Schering
・Successful acquisition of Schering by Bayer now much more likely
・Wenning: “All three companies concerned will benefit from this step”
・Suit filed against Merck to be withdrawn
Bayer AG is to acquire all the shares of Schering held by Merck. In the course of joint talks, Bayer and Merck have agreed on the need to end the uncertainty regarding the Berlin company’s future. Merck has therefore decided to sell its 21.8 percent (according to SEC) stake to Bayer, clearing the way for Bayer’s acquisition of Schering. The purchase price is EUR 89 per share.
All other Schering stockholders who have tendered their shares under the public takeover offer, or who decide to do so before the acceptance period expires at midnight CEST on Wednesday, will benefit from this price, which is EUR 3 above the original offer.
“We’re very pleased about Merck’s decision, because a lengthy competitive bidding process would have greatly affected Schering’s future,” said Bayer Management Board Chairman Werner Wenning. “All three companies concerned will benefit from this step. We are very optimistic that we can now secure at least the three-quarters of Schering’s capital stock that we were aiming for, enabling us to quickly begin the integration process. Today we have taken a major step toward creating a world-class German pharmaceutical company.”
The future company “Bayer Schering Pharma” will strengthen Germany’s role as a pharmaceutical industry location. This is in the interests of the entire sector. Bayer and Merck therefore agreed during their talks to look into further possible opportunities for cooperation between the two companies.
Bayer will withdraw the suit filed against Merck in New York on Tuesday.
2007-03-26 Bayer Schering
Pharma
Bayer deal with Novartis improves profit outlook for BetaseronR
franchise
Bayer Schering Pharma AG, Germany, acquires U.S. Biologics
manufacturing facility from Novartis
Bayer will stop paying Novartis current royalty on Betaseron(R)
from October 2008
Bayer will provide licensing rights to Novartis to establish its
own brand of interferon beta-1b from 2009 forward
Bayer Schering Pharma AG, Germany, has purchased from Novartis a
biologics manufacturing facility in Emeryville, California, which
is currently used to produce Bayer Schering Pharma’s Betaseron(R) for patients in the
United States. Bayer Schering Pharma will manufacture Betaseron
at the Emeryville site, retain full control of all manufacturing
and process technology used in the production of Betaseron and
will continue to employ the facility’s employees.
Novartis will transfer manufacturing responsibility for Betaseron
(interferon beta-1b) including the Biologics License Application
(BLA), by selling related equipment and property, as well as
leasing certain buildings at the Emeryville site to Bayer
Schering Pharma for a one-off payment of approximately USD 110
million. To assure a smooth transition and safeguard continuous
product supply for patients, Novartis will assist Bayer Schering
Pharma in assuming responsibility for Betaseron manufacturing in
Emeryville and will also help Bayer qualify another possible
supplier of the product. In addition, Novartis will grant Bayer
royalty-free licenses under all patents and know-how used by
Novartis in relation to Betaseron.
Bayer Schering Pharma will continue to pay Novartis royalties
equivalent to those being paid currently on net sales of
BetaseronR manufactured by Bayer at the Emeryville facilities
until expiration of the original regulatory filing, development
and supply agreement in October 2008. After this date, no more
royalties will be due to Novartis on the sales of Betaseron.
Bayer Schering Pharma will support Novartis in the regulatory
filing process of a Novartis brand of interferon beta-1b. When
approved by health authorities, Bayer Schering Pharma will supply
this medicine to Novartis from 2009 forward and receive in return
a double digit royalty payment from Novartis.
“Manufacturing
knowledge is critical in this marketplace, and we are looking
forward to having the employees at Emeryville join the Bayer
Schering Pharma team” said Arthur Higgins, Chairman of
the Board of Management of Bayer Schering Pharma AG. “In addition to improving the
profitability of the BetaseronR franchise through this
transaction we believe a second independent brand will reinforce
the existing growth of the global MS market”.
Bayer Schering Pharma has pioneered the treatment of multiple
sclerosis and is committed to expand the boundaries of MS
treatment through lifecycle management of BetaseronR and the
development of new treatment options. Betaseron is the only
high-dose, high-frequency interferon beta indicated for patients
at the earliest stage of MS.
In 2006 prior to the close of the Novartis-Chiron transaction,
Bayer Schering Pharma AG exercised its option to acquire all
Betaseron-related assets at the Emeryville site at fair market
value. Since then, both sides have continued discussions about
the transfer of the Betaseron assets.
The agreement is subject to regulatory consent and resolves all
outstanding legal actions between the parties regarding
Betaseron.