Bristol-Myers Hires Investment Bankers
2 CommentsBy Ed Silverman // January 30th, 2007 // 6:04 pm
The drugmaker reportedly hired Lehman Brothers, Citigroup and Morgan Stanley in anticipation of a bid from Sanofi-Aventis.
The move raises the possibility that a bidding war could also occur, given that Schering-Plough expressed interest and Pfizer has a lot of cash that could be used to snatch up a company to bolster its ailing pipeline.
One French banker told The Financial Times that Sanofi had been “caught cold” by this week’s leaked report of its plans to bid for BMS. Sanofi has yet to hire any banks.[tags]Bristol-Myers Squibb, Citigroup, Lehman Brothers, Morgan Stanley, Pfizer, Sanofi-Aventis, Schering-Plough[/tags]
MS
BMY is probably not a good fit for Pfizer. IMHO Abbot would be a better fit. ABT’s Kos acquisition would add to PFE’s cholesterol franchise (Lipitor/Niacin/Tricor combo?). Norvir+Kaletra would add to Pfizer’s Maraviroc in the HIV area. Humira could make up for some of the LOE Pfizer faces (Norvasc etc). ABT has divested most of its disgnostics biz and hospital products div. The part of diagnostics still with ABT would help PFE in areas like personalized medicine (e.g. maraviroc). PFE could divest the stent and nutritional biz (perhaps sell to J&J?..ironic given ABTs role as spoiler in J&J’s spat with Boston Scientific). Any deal with ABT would have to be a friendly one..IMHO PFE desperately needs the strategic capabilities of Miles White of ABT…perhaps make him Vice Chairman? (Mr. White has had a stellar batting average in terms of strategic acquisitions..an area where PFE’s skills seem to be deficient in recent years). Overall looks like Mr Kindler is on the right track in trying to re-shape PFE but the odds seem to be daunting unless he does a good strategic deal before it is too late.
ed silverman
Interesting idea, yes. Maybe some investment banker will pursue it, although it may be a little rich for Abbott to swallow.