Shareholders best interest, or his and his patatoes severance package interest (+ 1M for CEO. Lampert is in one hand right, but I still need to do DD on DNDN.
From those who are for deal:
7.Sole Voting Power
10,225,842
Or 37%
Miljenko
Dow Jones Business News
Corvas Defends Proposed Merger With Dendreon >CVAS DNDN
Tuesday March 4, 5:54 pm ET
By Ben Siegel, Of DOW JONES NEWSWIRES
WASHINGTON (Dow Jones)--Corvas International Inc. Chief Executive Randall E. Woods said Tuesday that despite opposition from his company's largest shareholder, he believes Corvas' proposed merger with Dendreon Corp. (NasdaqNM:DNDN - News) is in the best interest of shareholders.
ADVERTISEMENT
The dissenting shareholder group, which includes Biotechnology Value Fund L.P., holds a 19.8% stake and said Monday that it has spoken with "a small number" of other "significant" Corvas shareholders. It said in a letter to Corvas' board that it believes that holders of a majority of the outstanding common shares oppose the Dendreon deal.
Woods told Dow Jones Newswires on Tuesday that he believes the deal would help both companies.
"We disagree with the BVF filings' analysis," Woods said. "We believe that this deal is very strategic for both companies."
Seattle biotechnology company Dendreon signed a definitive agreement Feb. 25 to acquire Corvas in a stock swap. Dendreon would exchange 0.45 of a share for each Corvas share. The companies have said they expect to close the deal in the second quarter.
The Biotechnology Value Fund group said it believes both companies would be " well-served" by canceling the deal without payment or penalty. It said it believes Corvas should return as much cash as possible to shareholders.
"This could be accomplished through an immediate, tax-efficient distribution of substantially all of Corvas' cash, net of debt, to all shareholders," the fund group said in the letter to Corvas' board. "An expeditious sale or liquidation of the remaining assets could follow."
Woods told Dow Jones Newswires that Dendreon brings an experienced and proven management team, as well as late-stage products that are "very complementary" to what Corvas works on. Corvas, he said, brings chemistry expertise to Dendreon for preclinical programs.
In a filing later Tuesday, Corvas said its board doesn't agree with the statements and conclusions in Biotechnology Value Fund's letter. Corvas' board urged shareholders to withhold judgment on the letter and on the Dendreon deal until the companies file their proxy statement. The proxy statement will contain full disclosure of all material terms and conditions of the deal, including reasons and background for the merger, the filing said.
Corvas International, San Diego, is a clinical-stage biopharmaceutical company.
-By Ben Siegel, Dow Jones Newswires; 202-628-7689 |
