GlaxoSmithKline (GSK) has intensified its hostile pursuit of US-based biotechnology firm Human Genome Sciences (HGS) and will take its offer straight to the company's shareholders.
GSK had made an offer to acquire the company in April 2012, but this offer was quickly rejected by HGS who said it did not reflect the firm's inherent value. HGS also responded by establishing a strategic alternatives review process, something GSK has said it will not be participating in.
Instead, GSK has launched a tender offer at $13 per share, valuing the company at $2.6bn, with shareholders given 20 business days to decide whether or not to sell their shares.
GSK said in a company statement: "GSK's participating in the strategic review process is unnecessary as its offer is not conditioned on due diligence or financing and can be completed expeditiously. It is important for HGS shareholders to understand that GSK is committed to proceeding with its offer."
GSK also reiterated its stance that shareholders should be given the opportunity to decide for themselves on the merits of the offer, citing "clear and strategic logic" to the merger.
Although the offer is no different to the one previously rejected by HGS, the company confirmed it will advise shareholders of its recommendation within ten business days.
GSK and HGS have a lengthy history of collaboration, most notably in the development of lupus drug Benlysta.
Image: GlaxoSmithKline's headquarters, located in London, UK. Photo courtesy of: GlaxoSmithKline