Abstract
In the year 2004 after a bitter takeover battle, France’s largest drug maker, Aventis, agreed to be absorbed by a smaller rival company Sanofi-Synthelabo SA in a cash and stock deal valued for Euro 55.2 billion ($65 billion). At the time of the deal, the consolidation created the world’s third largest pharmaceutical company with a market capitalization of approximately 90 billion euros behind US-based Pfizer and Britain’s GlaxoSmithKline. The French government put pressure on Sanofi-Synthelabo to raise its bid for Aventis and for Aventis to accept the offer. Under the terms of the revised bid, Sanofi offered five of its shares for each Aventis shares held plus €120 in cash. During the −78 to +173 (254-day merger period) covering January 1, 2004–January 2005, the Aventis stock gained 9.20% on cumulative basis.
This is a preview of subscription content, log in via an institution.
Buying options
Tax calculation will be finalised at checkout
Purchases are for personal use only
Learn about institutional subscriptionsReferences
CNN Money News International (2004) Sanofi lands Aventis for $64B. https://money.cnn.com/2004/04/26/news/international/aventis_sanofi/. Accessed 29 April 2018
Hoffmann C (2004) Merger of Sanofi Synthelabo and Aventis to create Sanofi Aventis. http://www.firstwordpharma.com/node/217045?tsid=17#axzz5MfubeAdr. Accessed 29 April 2018
PRNewsWire (2010) Sanofi Aventis successfully completes the acquisition of Chattem Inc. http://www.news.sanofi.us/press-releases?item=118517. Accessed 29 April 2018
Raghavan A, Carreyrou J, Naik G (2004) Sanofi to swallow Aventis in a deal set at $65 billion. https://www.wsj.com/articles/SB108291923112092711. Accessed 29 April 2018
Sanofi Press Release (2018) Sanofi completes acquisition of Bioverativ Inc. https://mediaroom.sanofi.com/en/press-releases/2018/sanofi-completes-acquisition-of-bioverativ-inc/. Accessed 8 March 2018
Timmons H, Bennhold K (2004) France helped broker the Aventis Sanofi deal. https://www.nytimes.com/2004/04/27/business/france-helped-broker-the-aventis-sanofi-deal.html. Accessed 29 April 2018
Author information
Authors and Affiliations
Rights and permissions
Copyright information
© 2019 Springer Nature Switzerland AG
About this chapter
Cite this chapter
Kumar, B.R. (2019). Sanofi–Aventis Merger. In: Wealth Creation in the World’s Largest Mergers and Acquisitions. Management for Professionals. Springer, Cham. https://doi.org/10.1007/978-3-030-02363-8_32
Download citation
DOI: https://doi.org/10.1007/978-3-030-02363-8_32
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-030-02362-1
Online ISBN: 978-3-030-02363-8
eBook Packages: Business and ManagementBusiness and Management (R0)