Glaxo Reaches $3B Friendly Deal to Buy Human Genome Sciences

Originally published on Fox Business Ending months of drama, British drug maker GlaxoSmithKline (GSK: 45.35, +0.35, +0.78%) reached a deal on Monday to acquire biotech company Human Genome Sciences (HGSI: 14.20, +0.62, +4.57%) after boosting its price to $3 billion in cash. The $14.25-a-share bid represents a lofty 99% premium on HGS's closing price on April 18, the final day of trading before the company publicly rebuffed a $2.6 billion buyout bid from Glaxo. When cash and debt is included, the value of the transaction rises to $3.6 billion. “We are pleased to have reached a mutually beneficial agreement with HGS on friendly terms and believe the combination of GSK and HGS represents clear financial and strategic logic for both companies and our respective shareholders,” Glaxo CEO Sir Andrew Witty said in a statement. Based in Rockville, Md., HGS employs about 1,100 people and generated 2011 revenue of $131 million. The company was founded more than two decades ago and is considered a pioneer in biotechnology. Continue reading this article here.