Biogen Idec to evaluate takeover possibility

The board of directors of Biogen Idec has announced that it has been authorised by the firm to assess whether third-party ownership of the company would result in improved value for its shareholders.

However, the board stated that the current strategy of the business is resulting in a robust financial and operation performance, expressing confidence the business plan outlined last month will result in beneficial value for stakeholders in the company.

“Nevertheless, to determine whether potential strategic interest on the part of major pharmaceutical companies might result in superior value in the current environment, the board has authorised management to explore interest in a transaction with Biogen Idec,” the firm said.

The company has reported that it has received notice from a number of interested parties regarding its possible acquisition,including that of investor Carl Icahn.

Biogen Idec noted that it cannot confirm that any transaction involving the firm will necessarily take place, confirming that no further information will be publicly disclosed until the completion of its formal evaluation process.

In August 2007, Paul Clancy was appointed to the position of executive vice-president and chief financial officer of Biogen Idec, with Mr Clancy reporting directly to chief executive officer James C Mullen.