Bristol-Myers Squibb makes $4.5 billion offer for ImClone

By Lisa Kerner

Charlotte, N.C., July 31 - Bristol-Myers Squibb Co. proposed acquiring ImClone Systems Inc. for $60 per share in cash, or a total of approximately $4.5 billion.

The per-share offer price is a 30% premium to ImClone's closing stock price on July 30.

Bristol-Myers Squibb, a New York biopharmaceutical company, proposed the offer in a July 31 letter to ImClone chairman of the board Carl C. Icahn.

According to a Bristol-Myers Squibb news release, the company currently owns 17% of all outstanding shares of ImClone.

The all-cash offer is not conditioned on financing or on the conduct of due diligence.

ImClone acknowledged receipt of the offer and announced late Thursday that it is "studying the situation."

"Our proposed acquisition of ImClone represents an evolutionary development in our companies' seven-year-long relationship, and is in the best interests of Bristol-Myers Squibb and ImClone shareholders and employees, and the patients we serve together," Bristol-Myers Squibb chairman and chief executive officer James M. Cornelius stated in the release.

"Bristol-Myers Squibb is the natural partner for ImClone as we possess the knowledge base and resources to advance the company's growth over the long-term, not only with respect to Erbitux, the important cancer therapy we jointly commercialize, but also in terms of developing ImClone's pipeline assets," Cornelius added.

Morgan Stanley & Co. Inc., Citigroup Global Markets Inc. and Credit Suisse Securities (USA) LLC are acting as financial advisers to Bristol-Myers Squibb in connection with the offer.

ImClone is a biopharmaceutical company based in New York that develops targeted treatments for cancer.

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