NEW YORK (Thomson Financial) - Shares of Genentech Inc. surged to their
highest price in more than two years on Monday after the San Francisco-based
biotechnology company confirmed its receipt of a buyout offer from Roche.
The shares jumped 14% to $93.09 on Monday on a volume of 8 million shares.
The issue's 30-day volume is 3.8 million shares. An intraday high of $94.19
represents the best price for the shares since January 2006.
Roche, which currently owns 55.9% of Genentech, offered to rest of the
company's stock that it doesn't already own for $89 a share. The offer
represents a 8.8% premium to the stock's Friday closing price of $81.82.
Genentech said a special committee of its board composed of the independent
directors will evaluate the proposal.
Ryan Vlastelica
rv/mb
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