Medivation Rejects Sanofi's Offer; But Sanofi Reiterates Commitment To Deal

(RTTNews) - Medivation Inc. (MDVN) said Friday that its Board determined that the unsolicited proposal from Sanofi (SNYNF, SNY) to acquire Medivation for $52.50 per share in cash substantially undervalues Medivation and is not in the best interests of the company and its stockholders. Meanwhile, Sanofi said it remains committed to the combination and looks forward to engaging directly with Medivation shareholders with regard to its proposal

But, Medivation noted that it strongly believes that Medivation's business plan will deliver value to its stockholders that is far superior to Sanofi's offer and unanimously rejects the proposal.

Responding to Medivation's rejection of its proposal, Sanofi said that Combining Sanofi and Medivation represents a compelling strategic and financial opportunity to drive immediate and certain value for Medivation's shareholders while benefiting patients and both companies' respective stakeholders. Sanofi's all-cash proposal represents over a 50 percent premium to Medivation's two-month volume weighted average trading price (VWAP) prior to takeover rumors.

"Sanofi is a disciplined acquirer and has a strong acquisition track-record. While to date Medivation has chosen not to enter into discussions regarding this value-creating transaction, Sanofi remains committed to the combination and looks forward to engaging directly with Medivation shareholders with regard to our proposal," Sanofi said.